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688 points hunglee2 | 3 comments | | HN request time: 0.821s | source
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VincentEvans ◴[] No.34713402[source]
Gazprom, Russian gas monopoly, has on Kremlin’s orders first threatened to, and then suspended gas supplies to Europe in an attempt to blackmail it to stop supporting Ukraine under a threat of, as they put it, “freezing Europe”. In the process unilaterally breaking existing delivery contracts. There were no Western sanctions targeting Russian gas - it was entirely a political operation initiated by Russian government, “weaponizing energy supplies” as it often referred to, in the course of hybrid war.

Kremlin has miscalculated - Europe was able to largely avoid the intended crisis, while simultaneously Gazprom lost its largest market. The pivot from Russian supplies did come at a significant cost though.

Now that the Western sanctions are strangling Russian economy - if Gazprom wanted to come back to European market - they would be first greeted by billions of dollars of contract charges in arbitration courts.

It has long became obvious that Gazprom will likely attempt to use claims of force majeure to try to avoid financial penalties. And as it became customary for Russia - start preparing fertile ground in the courts of public opinion by planting various stories misdirecting the blame and muddying the waters.

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MilaM ◴[] No.34714100[source]
> Now that the Western sanctions are strangling Russian economy - if Gazprom wanted to come back to European market - they would be first greeted by billions of dollars of contract charges in arbitration courts.

This is not merely hypothetical. Uniper, one of Gazproms biggest customers in Europe, is already suing for $12 billion in damages. And that is only one of many former customers.

https://www.reuters.com/business/energy/uniper-seeking-billi...

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1. VincentEvans ◴[] No.34714293[source]
It’s probably worth adding here that according to a quick google search - the cost of Nordstream2 project is $11B. So one might imagine that the costs of potential repairs are negligible in comparison.
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2. cpwright ◴[] No.34715153[source]
Salt water entering the pipeline can damage more than just the single length of pipe that has the hole in it, so fixing it is can be uneconomical.
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3. Reason077 ◴[] No.34715468[source]
The repair costs have been estimated (by Nord Stream AG) to start at around $500 million. No word yet on whether they actually plan to repair it.