After the G7 announced some weird price cap on Russian oil, the Russians responded by announcing an indefinite closure of the Nord Stream pipeline. The Russians cited an “oil leakage” issue as the reason for the closure.
Russia says NordStream 1 gas pipeline suspended indefinitely – Russia-Ukraine war live
https://t.co/FnYQylWjet— The Guardian (@guardian) September 2, 2022
Winter is coming:
Russia says #NordStream gas pipeline shut down indefinitely due to oil leak.
In other words, Russia halts gas flow to Germany.
— Hakan Copur (@hakancopur1) September 2, 2022
Russia goes for the throat. Gazprom shuts down Nordstream 1 indefinitely gives no timeline by which it will be able to restart after detecting "oil leakage" during routine maintenance. Brutal show of force compared with G7's possible future Russian oil price cap.
— Patrick Wintour (@patrickwintour) September 2, 2022
In addition to the pipeline closure, Russia has already stated that they aren’t going to sell oil to countries imposing price caps on them.
Based on the timing of all this, it seems fairly clear that this pipeline closure was Russian retaliation for the G7 putting a price cap on their oil.
They should keep the pipeline shut until the West begins acting reasonably. Unfortunately, it may take millions of Europeans starving and freezing to death until this happens.
Either way, it looks like there’s going to be significant turmoil in the energy markets for some time to come.
Here’s some additional commentary on the situation.
G7 ministers of finance have agreed on a deal on Russia's oil cap.
Russia won’t sell its oil to the G7. ⁰The oil market will be in a mess. That’s a nail in the coffin of the market economy. ⁰That’s the start of the recession. pic.twitter.com/x4Su7Dy0n6
— Maria Dubovikova (@politblogme) September 2, 2022
They are so stupid it hurts to read this.
Russia won't sell to countries that try to enforce this. Then that oil just goes to China or India or elsewhere. Then 3rd parties will sell it to Europe with higher expenses for shipping and more middlemen. It is all so ridiculous. https://t.co/rzB4Bl9Y9S
— Wall Street Silver (@WallStreetSilv) September 2, 2022
