Replacing Russian Gas Deliveries with US Shale Gas? Washington Lies to the EU
After his recent meeting with EU leaders Obama issued the incredible statement that the secret Transatlantic Trade and Investment Partnership (TTIP) that is being secretly negotiated behind closed doors by the major private multinational companies would make it easier for the United States to export gas to Europe and help it reduce its dependency on Russian energy: “Once we have a trade agreement in place, export licenses for projects for liquefied natural gas destined to Europe would be much easier, something that is obviously relevant in today’s geopolitical environment,” Obama stated.
That bit of political opportunism to try to push the stalled TTIP talks by playing on EU fears of Russian gas loss after the US-orchestrated Ukraine coup of February 22, ignores the fact that the problem in getting US shale gas to the EU does not lie in easier LNG licensing procedures in the USA and EU.
In other recent statements, referring to the recent boom in unconventional US shale gas, Obama and Kerry have both stated the US could more than replace all Russian gas to the EU, an outright lie based on physical realities. At his Brussels meeting Obama told EU leaders they should import shale gas from the US to replace Russian. There is a huge problem with that.
Shale revolution a failure
The second problem with the US “offer” of gas to the EU to replace Russian gas is the fact that it requires massive, costly infrastructure in the form of construction of new Liquified Natural Gas terminals that can handle the huge LNG supertankers to bring it to similar huge LNG terminal harbors in the EU.
The EU gets some 30% of its gas, the fastest-growing energy source there, from Russia today. In 2007, Russia’s Gazprom supplied 14 percent for France, 27 percent for Italy, 36 percent for Germany, with Finland and the Baltic states receiving as much as 100 percent of gas imports from Russia.
F. William Engdahl is strategic risk consultant and lecturer, he holds a degree in politics from Princeton University and is a best-selling author on oil and geopolitics , exclusively for the online magazine “New Eastern Outlook”