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Re: The Rise of the Russian Empire: Russo-Armenian Relations
Russia agreed to cancel $4.5 billion of Libyan debt on Thursday, unlocking big military and civilian export orders in the face of fierce Western competition for the former outcast state's booming market. The deal was one of 10 accords reached on a visit by Russian President Vladimir Putin that saw Libyan leader Muammar Gaddafi give equal emphasis to political ties, hailing his visitor as "our great guest" in an unusually effusive speech of welcome. Gaddafi, keen to balance growing ties with the West with alternative sources of support such as Moscow, said the world needed a Russian "superpower" to counter a dominant force -- a thinly veiled reference to Washington -- that was fuelling a new arms race. "It's said the Cold War is over, but I say that unfortunately the Cold War continues," the official Jana news agency quoted Gaddafi as saying on Wednesday evening.
"The arms race has begun once again due to the international imbalance," he said at a dinner for Putin, who was making the first visit by a Kremlin leader to the OPEC member since 1985. The Russian agreements on debt, energy, railways and investment mark a renewed effort by Moscow to grab a slice of a growing market aggressively courted by Western companies seeking contracts for big state infrastructure projects. Libya, owner of Africa's largest oil reserves, earned more than $40 billion from oil and gas in 2007 and is seeking to rebuild an economy run down by decades of sanctions. The largest commercial deal was a 2.2 billion euro ($3.48 billion) contract for Russian state railways, with payment tied to the debt deal. Russian Finance Minister Alexei Kudrin said the debt would be cancelled once payments for the railway deal and other contracts arrived in Russian companies' bank accounts. Analysts say the debt was built up during the Cold War, much of it as a result of Soviet arms supplies to Libya. "I am satisfied by the way we have solved the debt problem," Putin told reporters. "The deal will not only employ Russian defence enterprises but will also help strengthen Libya's defences."
WEAPONRY
A defence source said in the next few days the countries would sign a contract worth several hundred million dollars for Russia to modernise some weaponry sold previously to Libya. Russia's Interfax news agency said on Monday Moscow hoped to sell Tripoli anti-aircraft systems, jet fighters, helicopters and warships worth 2.5 billion euros. Russia, Libya's traditional weapons supplier, is seeking to revive its role as a global power, which diminished after the Soviet Union collapsed. In another deal, Russian gas monopoly Gazprom and Libya's state energy conglomerate National Oil Corporation (NOC) signed a memorandum of cooperation on Thursday, officials said. Details were not announced. Libya's ties to the West have warmed since it abandoned its weapons of mass destruction programmes in 2003. But Gaddafi has long complained that Libya has been inadequately rewarded. Gaddafi, a fierce critic of what he depicts as U.S. unilateralism, suggested a parallel between Libya's effort to gain international acceptance since 2003 and Moscow's abandonment of some of the policies of the former Soviet Union.
Source: http://africa.reuters.com/wire/news/usnL17211781.html
Outgoing Russian President Vladimir Putin has held talks with an old friend -- Silvio Berlusconi, the billionaire set to serve as Italy's prime minister for a third time. Meeting on the Italian island of Sardinia, the two men discussed energy and business ties -- and gave the European Union reason to worry that Moscow's influence in Europe will only continue to grow. Putin "is very friendly. He has shown himself to be a great friend by coming here," Berlusconi said. "This shows a close relationship that has never been interrupted. The Russian Federation is very important for us. We get 30 percent of our oil and gas from them." Berlusconi and Putin have been close allies since Berlusconi's second term as prime minister in 2001-06. It's a friendship that doesn't make everyone happy. Many European leaders worry the relationship that will hurt the EU's chances of forging a common policy on Russia and its energy. The April 18 meeting on Sardinia comes as both men are facing a political transition. Berlusconi, Italy's richest man, is about to serve as prime minister for the third time. Putin, having served out two highly successful presidential terms, has just been named head of the dominant Unified Russia party and will become prime minister in early May.
Sealing Deal?
Putin is the first foreign leader to visit Berlusconi since the results of the Italian elections were announced on March 14. At a press conference, the Russian president quickly dismissed a question from an Italian journalist about stories of his alleged divorce from his wife and plans to marry a 24-year-old gymnast. From then on, he was all business, saying the two sides had discussed the terms of a swap in which the Russian giant Gazprom would receive from Italy's ENI energy assets in the North African country of Libya in exchange for access to energy assets on Russian territory:
ENI "has received access to assets on Russian territory, and Gazprom hopes it can receive adequate assets in other countries, particularly in Libya," Putin said. "We have a wide range of joint projects, from the joint extraction of energy resources to the development of infrastructure and pipeline systems." The Russian leader traveled to Sardinia from Libya, a major oil and gas supplier. Russia, which supplies more than one-quarter of the natural gas consumed in the EU, has been looking to consolidate its position by striking new deals with North African suppliers.
Putin also addressed the issue of Italy's ailing flagship carrier Alitalia, which had been looking to Air France-KLM for possible investment. The Russian leader suggested that Aeroflot might also become involved in the talks. "I spoke with the chairman of the Aeroflot board of directors today," Putin said. "They are ready to resume contacts with their Italian partners [at Alitalia]. Of course, we don't know what the result will be. These are commercial negotiations." Aeroflot late last year withdrew its interest in acquiring a 49.9 percent stake in Alitalia that the Italian government had sought to sell. The two leaders had also expected to address the sometimes thorny relations between Brussels and Moscow. Berlusconi has offered himself as a would-be peace ambassador, saying Europe's relations with Russia should be "much warmer," and suggesting he could use his friendship with Putin to improve ties.
Source: http://www.rferl.org/featuresarticle...9C4C34609.html
Russia, Libya seal debt accord, eye arms deals
Russia agreed to cancel $4.5 billion of Libyan debt on Thursday, unlocking big military and civilian export orders in the face of fierce Western competition for the former outcast state's booming market. The deal was one of 10 accords reached on a visit by Russian President Vladimir Putin that saw Libyan leader Muammar Gaddafi give equal emphasis to political ties, hailing his visitor as "our great guest" in an unusually effusive speech of welcome. Gaddafi, keen to balance growing ties with the West with alternative sources of support such as Moscow, said the world needed a Russian "superpower" to counter a dominant force -- a thinly veiled reference to Washington -- that was fuelling a new arms race. "It's said the Cold War is over, but I say that unfortunately the Cold War continues," the official Jana news agency quoted Gaddafi as saying on Wednesday evening.
"The arms race has begun once again due to the international imbalance," he said at a dinner for Putin, who was making the first visit by a Kremlin leader to the OPEC member since 1985. The Russian agreements on debt, energy, railways and investment mark a renewed effort by Moscow to grab a slice of a growing market aggressively courted by Western companies seeking contracts for big state infrastructure projects. Libya, owner of Africa's largest oil reserves, earned more than $40 billion from oil and gas in 2007 and is seeking to rebuild an economy run down by decades of sanctions. The largest commercial deal was a 2.2 billion euro ($3.48 billion) contract for Russian state railways, with payment tied to the debt deal. Russian Finance Minister Alexei Kudrin said the debt would be cancelled once payments for the railway deal and other contracts arrived in Russian companies' bank accounts. Analysts say the debt was built up during the Cold War, much of it as a result of Soviet arms supplies to Libya. "I am satisfied by the way we have solved the debt problem," Putin told reporters. "The deal will not only employ Russian defence enterprises but will also help strengthen Libya's defences."
WEAPONRY
A defence source said in the next few days the countries would sign a contract worth several hundred million dollars for Russia to modernise some weaponry sold previously to Libya. Russia's Interfax news agency said on Monday Moscow hoped to sell Tripoli anti-aircraft systems, jet fighters, helicopters and warships worth 2.5 billion euros. Russia, Libya's traditional weapons supplier, is seeking to revive its role as a global power, which diminished after the Soviet Union collapsed. In another deal, Russian gas monopoly Gazprom and Libya's state energy conglomerate National Oil Corporation (NOC) signed a memorandum of cooperation on Thursday, officials said. Details were not announced. Libya's ties to the West have warmed since it abandoned its weapons of mass destruction programmes in 2003. But Gaddafi has long complained that Libya has been inadequately rewarded. Gaddafi, a fierce critic of what he depicts as U.S. unilateralism, suggested a parallel between Libya's effort to gain international acceptance since 2003 and Moscow's abandonment of some of the policies of the former Soviet Union.
Source: http://africa.reuters.com/wire/news/usnL17211781.html
Russia: Old Friends Putin, Berlusconi Meet In Sardinia
Outgoing Russian President Vladimir Putin has held talks with an old friend -- Silvio Berlusconi, the billionaire set to serve as Italy's prime minister for a third time. Meeting on the Italian island of Sardinia, the two men discussed energy and business ties -- and gave the European Union reason to worry that Moscow's influence in Europe will only continue to grow. Putin "is very friendly. He has shown himself to be a great friend by coming here," Berlusconi said. "This shows a close relationship that has never been interrupted. The Russian Federation is very important for us. We get 30 percent of our oil and gas from them." Berlusconi and Putin have been close allies since Berlusconi's second term as prime minister in 2001-06. It's a friendship that doesn't make everyone happy. Many European leaders worry the relationship that will hurt the EU's chances of forging a common policy on Russia and its energy. The April 18 meeting on Sardinia comes as both men are facing a political transition. Berlusconi, Italy's richest man, is about to serve as prime minister for the third time. Putin, having served out two highly successful presidential terms, has just been named head of the dominant Unified Russia party and will become prime minister in early May.
Sealing Deal?
Putin is the first foreign leader to visit Berlusconi since the results of the Italian elections were announced on March 14. At a press conference, the Russian president quickly dismissed a question from an Italian journalist about stories of his alleged divorce from his wife and plans to marry a 24-year-old gymnast. From then on, he was all business, saying the two sides had discussed the terms of a swap in which the Russian giant Gazprom would receive from Italy's ENI energy assets in the North African country of Libya in exchange for access to energy assets on Russian territory:
ENI "has received access to assets on Russian territory, and Gazprom hopes it can receive adequate assets in other countries, particularly in Libya," Putin said. "We have a wide range of joint projects, from the joint extraction of energy resources to the development of infrastructure and pipeline systems." The Russian leader traveled to Sardinia from Libya, a major oil and gas supplier. Russia, which supplies more than one-quarter of the natural gas consumed in the EU, has been looking to consolidate its position by striking new deals with North African suppliers.
Putin also addressed the issue of Italy's ailing flagship carrier Alitalia, which had been looking to Air France-KLM for possible investment. The Russian leader suggested that Aeroflot might also become involved in the talks. "I spoke with the chairman of the Aeroflot board of directors today," Putin said. "They are ready to resume contacts with their Italian partners [at Alitalia]. Of course, we don't know what the result will be. These are commercial negotiations." Aeroflot late last year withdrew its interest in acquiring a 49.9 percent stake in Alitalia that the Italian government had sought to sell. The two leaders had also expected to address the sometimes thorny relations between Brussels and Moscow. Berlusconi has offered himself as a would-be peace ambassador, saying Europe's relations with Russia should be "much warmer," and suggesting he could use his friendship with Putin to improve ties.
Source: http://www.rferl.org/featuresarticle...9C4C34609.html
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