Iranian, Turkish firms to supply gas to Europe

[FarCenter]

TEHRAN (AP): Iranian newspapers say the country has reached an agreement with a Turkish company to form a joint venture to supply natural gas to Europe.

The Sunday report by several Tehran newspapers quotes the head of National Iranian Gas Export Company, Reza Kasaizadeh, as saying ``50 percent of the new company,'' which is expected to transport some 35 billion cubic meters of gas per year to Europe through Turkey, will be owned by NIGEC.

The report did not identify the Turkish company nor give a name for the joint venture.

Iran has the largest natural gas reserves in the world after Russia. Its role in international market of natural gas is tiny, however, due to huge domestic consumption.

http://www.hinduonnet.com/thehindu/holnus/003200902222104.htm

[dipsydoodle]

1. The Swiss already get most of their gas from Iran anyway.

Here's a note from last year.

As the Japanese are wont to say, "business is war." Apparrently, that is how the Bush White House sees the recently-announced deal between Switzerland and Iran over a $42 billion natural gas contract. And, living up to the their own dysfunctional war planning record, the White House is now considering a retaliation against Switzerland where it hurts the United States most: by ending the Swiss sponsorship of the U.S. and Cuban Interests Sections. That will teach them not to mess with us.

Of all the pathetic evidence that the Bush Administration had degraded U.S. influence in the world, this is up there. Rarely have we seen how weak the man behind the curtain really is.

It also is an object lesson in global leadership. Part one of that lesson is that states will always seek to satisfy their own calculation of their national interests. Unless the interest equation is changed, inertia will rule in the affairs of sovereign peoples. The Swiss need gas, Iran has it. The Bush administration did not, apparently, care enough to insert themselves effectively in the Swiss decision loop.

Part two of that lesson is that the international order is fundamentally governed more effectively by attractive forces than by coercive forces. The U.S. has done an incredibly poor job of making the American vision of the world the most attractive option since the end of the Cold War, especially since 9/11. This is not rocket science. Europe uses the attractiveness of its 450 million high-income consumers as the world's largest carrot. China even understands that it is easier and more effective to buy friends than to threaten them.

http://www.newamerica.net/blog/american-strategy/2008/white-house-threatens-swiss-over-42b-iran-gas-deal-3685

[FarCenter]

2. There is talk in Switzerland about terminating its representation of the US

There are factions in Switzerland that are very upset about the US' pressure on Switzerland and they are looking for ways to retaliate.

One proposal is to end Swiss representation of the US to countries with which the US does not have diplomatic relations, e.g. Cuba.

Another is to repatriate gold held in the US on behalf of Swiss banks.