Energy in Azerbaijan

[Azad]

Re: Energy in Azerbaijan

A nasty day for azeri's credibility. Even if they pay all of the bond holders debts, their credibility to borrow in the future is gone to the sewage.

"Restructuring by Azerbaijan Bank Rattles Foreign Investors

A “too big to fail” trade has backfired on the shores of the Caspian Sea.
Bank bondholders who thought they were getting a near 6 percent yield for quasi-government risk have received a rude awakening."

https://www.nytimes.com/2017/05/24/business/dealbook/azerbaijan-bank-bonds-debt.html

"Azerbaijan's IBA angers creditors with debt restructuring plan

Crisis-ridden International Bank of Azerbaijan (IBA) angered investors with its debt restructuring plan announced"

http://www.intellinews.com/azerbaijan-s-iba-angers-creditors-with-debt-restructuring-plan-122063/

"Kazakh c.bank to seek legal evaluation of investing in IBA bonds

May 24 Kazakhstan's state-managed pension fund invested $250 million in Azerbaijan's now troubled state-run bank IBA, and Kazakhstan's central bank will seek legal evaluation of this investment decision"

https://www.reuters.com/article/azerbaijan-iba-kazakhstan-idUSR4N1I6025

[HyeSocialist]

Re: Energy in Azerbaijan

A nasty day for azeri's credibility. Even if they pay all of the bond holders debts, their credibility to borrow in the future is gone to the sewage.

"Restructuring by Azerbaijan Bank Rattles Foreign Investors

A “too big to fail” trade has backfired on the shores of the Caspian Sea.
Bank bondholders who thought they were getting a near 6 percent yield for quasi-government risk have received a rude awakening."

https://www.nytimes.com/2017/05/24/business/dealbook/azerbaijan-bank-bonds-debt.html

"Azerbaijan's IBA angers creditors with debt restructuring plan

Crisis-ridden International Bank of Azerbaijan (IBA) angered investors with its debt restructuring plan announced"

http://www.intellinews.com/azerbaijan-s-iba-angers-creditors-with-debt-restructuring-plan-122063/

"Kazakh c.bank to seek legal evaluation of investing in IBA bonds

May 24 Kazakhstan's state-managed pension fund invested $250 million in Azerbaijan's now troubled state-run bank IBA, and Kazakhstan's central bank will seek legal evaluation of this investment decision"

https://www.reuters.com/article/azer...-idUSR4N1I6025

Big time pain. The question is how much pain and how quickly will it be delivered?

[Azad]

Re: Energy in Azerbaijan

Big time pain. The question is how much pain and how quickly will it be delivered?

It all depends on oil prices. Trump's meeting with the Saudis, where they purchased billions in arms, was it conditional on adjusting oil prices? Trump wants to sell 1/2 of the oil reserve, not a good move to keep prices low. At the same time, there are many countries that are pumping oil as fast as they can. China's economy is slowing. Too many factors to have proper perspective on future oil prices. The azeris could recover, if prices will go up to around $80 for couple years. Unlikely! If it stays around $50 for around a year the country will spiral into riots and violence.

[HyeSocialist]

Re: Energy in Azerbaijan

http://en.trend.az/business/economy/2758527.html

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Check out this Azeri spin. "Everything is OK. We might have a lower credit rating for a couple days but in the future we might end up the greatest super power of all time."

[HyeSocialist]

Re: Energy in Azerbaijan

http://abc.az/eng/news_24_05_2017_104022.html

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Azeri oil funded businesses now slowly withdrawing. If there is an Armenian bank that has capabilities of advancing into Georgian and Russian markets, I sure hope we take over.

[Azad]

Re: Energy in Azerbaijan

Not sure how the contract terms were drafted. Either way, it is going to be a battle that would expose the azeri's "credibility" in future borrowing (if any). I like where this BS is headed.

"Creditors of Defaulted Azeri Bank Said to Contest Rehab Plan

Creditors of Azerbaijan’s biggest bank are taking steps to block terms outlined by the lender earlier this week in a $3.3 billion debt restructuring, according to two members of the investor group.

Debtholders of the International Bank of Azerbaijan are arguing their voting rights were diluted by the inclusion in the restructuring of a $1 billion deposit owed to the country’s oil fund, according to the people, who declined to be named because the discussions are private."

https://www.bloomberg.com/news/articles/2017-05-25/jilted-creditors-said-to-spurn-defaulted-azeri-bank-s-rehab-plan

[Azad]

Re: Energy in Azerbaijan

The funny part that even turkey can't come to their rescue to take over or refinance their gas pipeline.
Few months ago turkey signed with Russia a competing gas pipeline (way larger gas quantity import from Russia) that would kill the azeri gas pipeline. An azeri pipe dream?

"Turkish Stream May Seal the Fate of the Trans Caspian Pipeline

An expert Central Asian analyst at the British University of Glasgow contends that the construction of the Turkish Stream pipeline will diminish the prospects of the Trans-Caspian pipeline.

The analyst, Luca Aneschi, told Trend magazine that “any progress on Turkish Stream would modify the structure of the demand for Caspian gas, making the Trans-Caspian pipeline even more irrelevant."

The Trans-Caspian gas pipeline project seeks to lay of a 300-km gas pipeline between Turkmenistan and Azerbaijan along the bottom of the Caspian Sea, delivering gas from Central Asian and in particular from Turkmenistan, which is the fourth in the world in terms of gas reserves, to Azerbaijan. Further Turkmen gas would be pumped through existing infrastructure to Europe, thus decreasing EU’s dependence on Russian energy supplies."

https://www.pipeline-journal.net/news/turkish-stream-may-seal-fate-trans-caspian-pipeline

[Azad]

Re: Energy in Azerbaijan

As if turkey back stabbing its beloved cousins the azeris with a Russian gas deal that will kill its billions of $ half built pipeline that was going to save the day for the azeri "economy" they are now getting screwed from the East as well. In perspective, the azeris lost millions from the Kazakh pension funds, it looks like the Central Asian countries are now dumping their Westward vision through azerbaijan and focusing on building their own network of refinery that will eventually be exported to India and China. In short, azerbaijan is cornered and screwed from all sides (it is like a gang rape). I mean ALL sides.

"Is This The Start Of Regional Cooperation In Central Asia?

In March and April, Mirziyaev secured deals for oil supplies from Turkmenistan, Kazakhstan, and Russia (which he visited on April 4-5). The Russian and Kazakh oil will come to Uzbekistan through Kazakh pipelines and will link up with a new Uzbek pipeline, yet to be built, and be taken to a new, fourth refinery, yet to be built, in Uzbekistan's Jizzakh region. The Turkmen oil goes to the refinery in Bukhara."

https://www.rferl.org/a/qishloq-ovozi-uzbekistan-mirziyaev-neighbors-cooperation/28506666.html

[HyeSocialist]

Re: Energy in Azerbaijan

As if turkey back stabbing its beloved cousins the azeris with a Russian gas deal that will kill its billions of $ half built pipeline that was going to save the day for the azeri "economy" they are now getting screwed from the East as well. In perspective, the azeris lost millions from the Kazakh pension funds, it looks like the Central Asian countries are now dumping their Westward vision through azerbaijan and focusing on building their own network of refinery that will eventually be exported to India and China. In short, azerbaijan is cornered and screwed from all sides (it is like a gang rape). I mean ALL sides.

"Is This The Start Of Regional Cooperation In Central Asia?

In March and April, Mirziyaev secured deals for oil supplies from Turkmenistan, Kazakhstan, and Russia (which he visited on April 4-5). The Russian and Kazakh oil will come to Uzbekistan through Kazakh pipelines and will link up with a new Uzbek pipeline, yet to be built, and be taken to a new, fourth refinery, yet to be built, in Uzbekistan's Jizzakh region. The Turkmen oil goes to the refinery in Bukhara."

https://www.rferl.org/a/qishloq-ovoz.../28506666.html

We should work closer with India too. Azeris seem to be sucking Pakistani d*ck, seems like a good opportunity to make friends with a major regional power.

[Azad]

Re: Energy in Azerbaijan

We should work closer with India too. Azeris seem to be sucking Pakistani d*ck, seems like a good opportunity to make friends with a major regional power.

It has been going on for a while now. In reality India and useless Kakis are not active player. China is a better deal. Indians are good people, I just don't like their makes no sense head shaking.

"Armenia and India Build Strategic Relationship

With Azerbaijan and Pakistan currently pursuing a strategic partnership (see EDM, September 28, 2016; December 15, 2016), Armenia and India have decided to step up their cooperation across several dimensions.

https://jamestown.org/program/armenia-india-build-strategic-relationship/

"Armenia to boost military-technical cooperation with India

Armenia announced on Saturday, May 20 that it intends to develop military-technical cooperation with India as the two countries held talks in the defense sector on May 16-20."

http://www.panarmenian.net/eng/news/240206/

"Erdogan to visit India with guilt of genocide

In another demonstration of India’s masculine foreign policy, it subtly sent a message to Turkey over its support to Pakistan’s position on Kashmir.

http://www.newindianexpress.com/thesundaystandard/2017/apr/30/erdogan-to-visit-india-with-guilt-of-genocide-1599285.html