As Russia continues to ramp up preparation for a possible switch to Rouble for debt payments after US tightened some financial loopholes, EU countries continue to swim in murky waters even as total ban on the Kremlin’s energy export continues to be delayed.
Last week, Russia warned that it will cut off Denmark oil giant, Orsted from its energy supplies today due to inability of the Danish company to fulfill their financial obligations through Rouble.
Recall that the US led NATO block had earlier frozen Russian foreign exchanges domiciled in Banks within their jurisdiction. The freeze has made it impossible for Russia to access it’s hard earned foreign exchange, thereby limiting their capacity to service some debts or perform other functions. In retaliation, Russia has pushed on with its Rouble for gas payment which has favoured the Kremlin, driving the rouble to an all time high of 55 roubles to one dollar before the Central Bank eased some financial controls that slashed the roubles gain to 62.
That notwithstanding, the same fate facing Orsted is also going to apply to Netherlands energy giant, Gazterra according to official reports released by Gazprom. Gazterra is refusing to pay for Russian gas in Roubles, a hypocritical gesture it would seem since the alternative is to pay in Euro or dollar into an account the US led NATO block is going to steal through their unilateral sanctions and freezing orders.
Although Gazterra is insisting that Russia is breaking their contract, it seems like they have been living in obscurity and have not been keeping tabs with the realities of Western gang up against Russia and Vladimir Putin.
Russia has already cut off Poland and Bulgaria for same reason and will not be reneging on their stance since the issue of roubles for gas is a matter of law. Should the Netherland energy giant Gazterra fail to secure any reasonable agreement with Russia today, the Dutch company is likely to suffer a big loss of cheap gas. Ultimately, this will ensure that consumer goods (now at an all time high in the Dutch country) will continue to get worse.