Russia’s oil majors are putting pressure on the case for tax cuts in the oil sector, warning of a possible drop in output next year. Sibir Energy’s London High Court ownership dispute with Roman Abramovich has come out in the billionaire’s favor. Peter Mandelson has called to attention the ‘ultimate perversity’ of wasting energy in Russia, and suggested that the country could cut consumption by 45%. ONGC's bid to buy Imperial Energy is still under review by the Federal Anti-Monopoly Service, who believe it may limit competition. The vice president of Lukoil says that Russia should join OPEC. TNK-BP’s Robert Dudley says that Russia’s oil production has reached its peak.

Former Norilsk Nickel head Denis Morozov is a popular choice to take over the reigns at TNK-BP, after the departure of Robert Dudley. This comes amid news that the trading of Russian oil stocks has essentially been paralyzed by a the freefalling price of crude. “At such prices, we would rather turn off the wells and halt production than trade at a loss,” said one trader at a Siberian company. Meanwhile, Russia’s first liquefied natural gas plan, the Sakhalin-2 project, will finally begin next year, with shipments of the gas headed to Japan as that country tries to reduce its energy dependence on the Middle East. And President Dmitry Medvedev arrives planned in Armenia tomorrow for a two-day tour designed in part to “highlight broader energy cooperation.”

TNK-BP’s Russian managers have withdrawn a lawsuit against chief executive Robert Dudley that accused him of violating labor rights. Germany's E.On agreed to swap part of its stake in Gazprom for an interest in Russia’s Yuzhno-Russkoye gas field, helping to resolve bilateral relations between Russia and Germany. Oil output in Russia has fallen for the ninth month in a row. Exxon’s subsidiary in Russia has pledged to boost gas output. The civilian nuclear agreement between India and the US has prompted Pakistan to demand the same. Given the EU’s concern for energy security, why are European countries undermining the Nabucco pipeline, and defending the Nord Stream pipeline, wonders The Economist. On how to promote the trade of LNG. Ukraine and Russia have resolved gas differences for the time being amid what Vladimir Putin called ...

Azerbaijan is sticking to plans to reduce oil exports to the EU and increase shipments to Russia and Iran, as the South Caucasus country - home to another Russia-influenced frozen conflict in Nagorno-Karabakh - seeks to spread risk; There is continued speculation that Robert Dudley would quit BP by year’s end mounted as he was set to attend his last board meeting as chief of TNK-BP, BP’s Russian joint venture; PM Putin stated that Igor Sechin, deputy prime minister of Russia, will head the governmental commission for the development of power generation; Sechin added to journalists that Oil companies are prepared to supply diesel fuel and fuel oil to power plants at fixed prices.

While U.S. financial turmoil has seeped into virtually every global market, Russia has been devastated, as the country’s largest stock exchanges, the MICEX and RTS, have suffered their biggest losses since the 1998 financial crisis. However, Moscow only has itself to blame after heavy-handed economic, political, and military tactics scared away the foreign investments it didn’t oust directly. Regulators suspended trading on both the MICEX and RTS for the second day in a row yesterday (Wednesday), after the nation’s two biggest exchanges suffered their worst losses in nearly a decade. The benchmark MICEX index tumbled 10% yesterday morning, extending a three-day decline that’s eradicated 25% of its value. The index plunged 17.5% Tuesday, its worst one-day decline since 1998. The dollar-denominated RTS index was down more than 8% when trading halted yesterday, after dropping 11.5% the day prior. The RTS has ...

While U.S. financial turmoil has seeped into virtually every global market, Russia has been devastated, as the country’s largest stock exchanges, the MICEX and RTS, have suffered their biggest losses since the 1998 financial crisis. However, Moscow only has itself to blame after heavy-handed economic, political, and military tactics scared away the foreign investments it didn’t oust directly. Regulators suspended trading on both the MICEX and RTS for the second day in a row yesterday (Wednesday), after the nation’s two biggest exchanges suffered their worst losses in nearly a decade. The benchmark MICEX index tumbled 10% yesterday morning, extending a three-day decline that’s eradicated 25% of its value. The index plunged 17.5% Tuesday, its worst one-day decline since 1998. The dollar-denominated RTS index was down more than 8% when trading halted yesterday, after dropping 11.5% the day prior. The RTS has ...

Can BP recover from losing Robert Dudley? In a move thought to be an attempt to punish Russia for its actions in Georgia, the US is pulling out of a civilian nuclear cooperation deal with Russia. Meanwhile the US’ potential civil nuclear deal with India is continuing to garner support. Should we be more concerned about energy consolidation in former Soviet states and countries bordering the Caspian? Gazprom is likely to receive licenses for the development of seven new gas fields in Russia. US oil and gas producers in the Gulf of Mexico are bracing themselves for a hit from Hurricane Ike. On Opec’s struggle to keep oil over $100 a barrel.

BP has finally agreed to a peace deal with its Russian partners over the future of their joint venture, TNK-BP. The oil firm announced yesterday that embattled chief executive Robert Dudley will leave TNK-BP by the end of the year, as part of an agreement hammered out with the four Russian billionaires who also own the business. Not surprisingly, the deal appeared to have been closely coordinated with the Kremlin. It follows an unprecedented campaign by state agencies against TNK-BP that prompted Dudley to flee Russia, citing harassment. Serbian government officials earlier today insisted that an energy deal with Russia is of the utmost national interest, but the opposition Liberals described it as humiliating. Well, it's not humiliating yet...

TNK-BP chief Robert Dudley has sent a letter to five federal agencies, lodging official complaints over what he is calling “an abuse of power by the State Labor Inspectorate.” In a retaliatory measure following the war with Georgia, the US is set to put a civil nuclear deal with Russia on hold. On Nabucco and Azerbaijani gas. Severstal will pay $1.3 billion to acquire North American coal miner PBS Coals. Iran has started designing a new 360-megawatt nuclear power plant. Tropical Storm Fay is approaching the Gulf of Mexico, with analysts fearing she may disrupt oil and natural gas production this week. Chevron is set to hand over its role as operator of the planned Hebron oil project off the coast of Canada to ExxonMobil. Iranian Oil Terminals Co. has received the first cargo ...

David Lee Smith at Motley Fool wonders when Western investment in Russia will grind to halt. Given my experience, I have yet to see the limit to investor's risk threshold ... the institutions seem bent on reaching a total collapse before learning any lessons. Is Russia Becoming an Investment Gulag? By David Lee Smith With all that's occurring in Russia these days, I'm wondering how long it'll be before Western investment in that nation grinds to a halt. The Russian military's incursion of the past week into Georgia is part of the picture, but there are a couple of similar -- albeit somewhat less widely reported -- bits of industrial skullduggery that bode almost as ill for Russia's ability to continue to function as a member of the modern world community. One, the TNK-BP affair that I've told you about in the past, has Russian authorities, along with a trio of the country's billionaires, ...