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More Background, why this is in fact important: Gazprom Germania is also a critical part of the german Gas-Market, because it owns the largest gas-Storage with

More Background, why this is in fact important: Gazprom Germania is also a critical part of the german Gas-Market, because it owns the largest gas-Storage with 1/5 of total capacity in Germany, major Gas Pipelines and Platforms for trading the ressource. This is both through Sub-companies Wingas and Astora. It also has contracts with Gazprom in Russia with guaranteed Prices and Deliveries.

throwaway4good 4y ago
Exactly what is left of value in this company; except some payrolls, offices, and some contracts which are void anyway?
- pfortuny 4y ago
  the stored gas and the storage facilities, I gather.
  - ls15 4y ago
    To me it seems that actually the reason for the seizure was that Gazprom did not store enough gas, while they have the biggest capacity: > In Germany, a third of gas storage belongs to Russia's Gazprom (GAZP.MM), whose facilities in Germany had lower levels of stored gas this winter than those operated by other companies. https://www.reuters.com/business/energy/germany-approves-law-mandating-full-gas-storage-before-winter-2022-03-25/ https://www.reuters.com/business/energy/germany-approves-law...
- SnowHill9902 4y ago
  It’s a hostage for a future prisoner exchange.
  - gumby 4y ago
    A plausible scenario but probably won’t happen in this case, Could be more like overseas subsidiaries of Bayer, seized by various allied countries in WWI and only reunited in 1994. The reparations bill (both during and after the war) will be high and I assume various assets, including foreign currency reserves, will end up going to fund the reconstruction of Ukraine.
- ptero 4y ago
  Pipelines (which I would not underestimate) and storage?
  - throwaway4good 4y ago
    Great pipelines; only problem is that they go to Russia ...
    - ptero 4y ago
      That is a disadvantage, but pipelines are very valuable. For example, Russia would love to sell gas to China, which would love to buy it, but pipelines take a heck of a long time to build. And regional, lower volume pipelines can be a nightmare to build.
  - OrvalWintermute 4y ago
    the storage and the pipes are the most valuable thing, since gas is just a commodity. Add another supplier, load it up, use pre-existing storage and distribution, Gazprom replaced. This is also why this is so dangerous from a legal perspective. Gazprom probably spent a great deal building this network and storage. Only to have it seized....
maratc 4y ago
> It also has contracts with Gazprom in Russia with guaranteed Prices and Deliveries. Is anyone under an illusion that Gazprom in Russia will honor these contracts, now that their branch was seized? And if not, what methods are there to enforce these contracts? The Russians seized the planes, which can fly but need spares and checks. The Germans seized the pipelines and the storage. Both have some utility in the interim, but both are ultimately useless.
- zmgsabst 4y ago
  “We seized your property under exigent circumstances, but you better honor your contracts rather than cancel them under exigent circumstances!” - NATO, apparently delusional The idea people will “honor” contracts while you’re (illegally) seizing their property in effort to enact an economic siege of their nation is mental illness — either delusions or megalomania. That strategy doesn’t make sense. I’m personally sad to see how deluded US and EU leaders are.
  - maratc 4y ago
    NATO has nothing to do with buying or selling gas.
  - op00to 4y ago
    I'm sorry, what did NATO seize again? It was Germany. Germany is not NATO. If you're going to participate in the discussion, at least keep your actors straight.
  - kadoban 4y ago
    Okay, then Russia can keep their gas and have even lower income of cash (which they need to pay debts, by the way).
    - neilwilson 4y ago
      Why do they need to 'pay debts'? Russia has just had its foreign reserves frozen. Those are debts too, which the West has repudiated. Why shouldn't Russia do the same in reverse? Countries export solely to gain imports if they have any sense. If there are no imports to be had - due to sanctions - then there is no need to export. Far better, from Russia's point of view, that the oil is left in the ground, and the workers redeployed elsewhere. To the war effort for example.

throwaway4good 4y ago

Exactly what is left of value in this company; except some payrolls, offices, and some contracts which are void anyway?

pfortuny 4y ago
the stored gas and the storage facilities, I gather.
- ls15 4y ago
  To me it seems that actually the reason for the seizure was that Gazprom did not store enough gas, while they have the biggest capacity: > In Germany, a third of gas storage belongs to Russia's Gazprom (GAZP.MM), whose facilities in Germany had lower levels of stored gas this winter than those operated by other companies. https://www.reuters.com/business/energy/germany-approves-law-mandating-full-gas-storage-before-winter-2022-03-25/ https://www.reuters.com/business/energy/germany-approves-law...
SnowHill9902 4y ago
It’s a hostage for a future prisoner exchange.
- gumby 4y ago
  A plausible scenario but probably won’t happen in this case, Could be more like overseas subsidiaries of Bayer, seized by various allied countries in WWI and only reunited in 1994. The reparations bill (both during and after the war) will be high and I assume various assets, including foreign currency reserves, will end up going to fund the reconstruction of Ukraine.
ptero 4y ago
Pipelines (which I would not underestimate) and storage?
- throwaway4good 4y ago
  Great pipelines; only problem is that they go to Russia ...
  - ptero 4y ago
    That is a disadvantage, but pipelines are very valuable. For example, Russia would love to sell gas to China, which would love to buy it, but pipelines take a heck of a long time to build. And regional, lower volume pipelines can be a nightmare to build.
- OrvalWintermute 4y ago
  the storage and the pipes are the most valuable thing, since gas is just a commodity. Add another supplier, load it up, use pre-existing storage and distribution, Gazprom replaced. This is also why this is so dangerous from a legal perspective. Gazprom probably spent a great deal building this network and storage. Only to have it seized....

maratc 4y ago

> It also has contracts with Gazprom in Russia with guaranteed Prices and Deliveries. Is anyone under an illusion that Gazprom in Russia will honor these contracts, now that their branch was seized? And if not, what methods are there to enforce these contracts? The Russians seized the planes, which can fly but need spares and checks. The Germans seized the pipelines and the storage. Both have some utility in the interim, but both are ultimately useless.

zmgsabst 4y ago
“We seized your property under exigent circumstances, but you better honor your contracts rather than cancel them under exigent circumstances!” - NATO, apparently delusional The idea people will “honor” contracts while you’re (illegally) seizing their property in effort to enact an economic siege of their nation is mental illness — either delusions or megalomania. That strategy doesn’t make sense. I’m personally sad to see how deluded US and EU leaders are.
- maratc 4y ago
  NATO has nothing to do with buying or selling gas.
- op00to 4y ago
  I'm sorry, what did NATO seize again? It was Germany. Germany is not NATO. If you're going to participate in the discussion, at least keep your actors straight.
- kadoban 4y ago
  Okay, then Russia can keep their gas and have even lower income of cash (which they need to pay debts, by the way).
  - neilwilson 4y ago
    Why do they need to 'pay debts'? Russia has just had its foreign reserves frozen. Those are debts too, which the West has repudiated. Why shouldn't Russia do the same in reverse? Countries export solely to gain imports if they have any sense. If there are no imports to be had - due to sanctions - then there is no need to export. Far better, from Russia's point of view, that the oil is left in the ground, and the workers redeployed elsewhere. To the war effort for example.