Sunday, October 11, 2015

Putin's Syria strikes are a long-term play for higher oil prices | World news | The Guardian

Putin's Syria strikes are a long-term play for higher oil prices | World news | The Guardian: "Of course Russia will also target Islamic State. The territory currently held by Isis contains important oil assets and Putin will be eager to bring these under his control. He can then play the “godfather”, dispensing cheap oil from previously Isis-held areas to his allies in the region.

Which brings us back to his primary aim. The more he can entrench himself in the Middle East, the more he can exert control over energy markets. With Iran and Iraq in his sphere he can begin to force Europe to rely on him again for supplies.

Prolonged war in the Middle East would serve Putin’s interests perfectly. The deeper and more widespread the conflict, the more world oil and gas prices are likely to rise, helping him stage an economic recovery at home and render the sanctions useless.

Ushering in better times at home is therefore Putin’s ultimate aim as he seeks to prop up a system that takes advantage of people’s patriotism and public spirit. The grand plan is for his vital oil and gas revenues to recover so he can buy the loyalty of Russia’s 140 million-strong population.

Alexander Temerko is a Ukrainian-born British businessman in the oil industry and donor to the Tory party"



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