Russia 110525
Basic Political Developments
· Itar-Tass news digest for Wednesday, May 25.
o MOSCOW — Russian President Dmitry Medvedev has invited orphans from children’s homes of Moscow and St. Petersburg who are leaving school this year to visit the Kremlin on Wednesday. “Today, all schools in Russia will organize the last bell ceremonies for school leavers, and the president has invited orphans from children’s homes of Moscow and St. Petersburg to the Kremlin,” presidential press secretary Natalya Timakova said.
o BRUSSELS — Presentation of the Southern Stream project will be held in the Belgian capital on Wednesday. Russian Energy Minister Sergei Shmatko, Gazprom CEO, Alexei Miller, CEO of South Stream AG Marcel Kramer, EU Energy Commissioner Guenther Oettinger, the heads of ENI and BASF corporations will attend the event. According to Kramer, the participants will present in detail this crucial for the future of the EU gas supply project, and answer questions of European officials, members of the European Parliament, representatives of energy and investment companies, diplomats and journalists.
o FRANKFURT — Ukraine does not want to joint NATO, but it seeks the EU membership, Ukrainian Foreign Minister Konstantin Grishchenko said in an interview published by the Handelsblatt newspaper on Wednesday. “Although we don’t seek NATO membership, we want to be a EU member country. NATO membership is not a prerequisite for that,” the foreign minister said.
o ST.PETERSBURG— The 20th International Banking Congress (IBC-2011) is starting in St. Petersburg on Wednesday to discuss modernization, innovations and investments. “During plenary meetings and workshops the participants will discuss modernization of the Russian banking system, the role of banks in innovative economy and their participation in investment projects; risk management, the application of new technologies in the banking business as well as urgent aspects of banking regulation and supervision,” the congress’s organizing committee told Itar-Tass.
o LAAPPEENRANTA, Finland— About 700 businessmen, politicians, scientists and representatives of civil society from 12 countries will take part in the second Russia-EU innovative forum that will open here on Wednesday. It will work under the motto “Partnership for Innovation”. “The first innovative forum that was held here a year ago was supposed to outline key areas of cooperation between Russia and the European Union in the field of innovation and modernization. This year, the task is to strengthen this cooperation and present concrete projects, especially for small and medium businesses,” representatives of the forum’s organizing committee told Itar-Tass.
o TURKMENBASHI — The International gas Congress of Turkmenistan (TGC) is opening at the national tourism zone Avaza on the Caspian Sea coast on Wednesday. The forum is held in the republic for the second time. The congress organiser – Turkmengaz State Concern said that the event will bring together about 500 representatives of the international oil and gas business - employees of 160 companies from 30 countries.
o VLADIVOSTOK — A group of naval ships of the Russian Pacific Fleet arrived on Wednesday for a visit to the Indonesian port of Makassar, fleet’s information group told Tass. The group consists of the large anti-submarine ship Admiral Panteleev and the rescue tug Fotii Krylov. The ships will stay there till May 27, and Russian and Indonesian marines will hold a planned joint exercise to train communication, manoeuvring and rescue at sea, as well as will discuss fight against piracy.
o BRUSSELS — Moscow City Court’s decision in the case of Khodorkovsky and Lebedev was disappointing, it is said in a statement of EU High Representative for Foreign Affairs and Security Policy Catherine Ashton that Itar-Tass received on Tuesday. “I am deeply disappointed by the decision of the Moscow City Court to uphold the verdict in the Mikhail Khodorkovsky and Platon Lebedev case, notwithstanding the slight reduction of the sentence from an additional six to five years in prison,” the statement says. Ashton also expressed concern over numerous violations during the investigation.
o MOSCOW — Russia’s Supreme Court on Wednesday will review an appeal against the sentence in the case of murder of former State Duma deputy, Hero of Russia Ruslan Yamadayev, who was shot dead on Smolenskaya Embankment in Moscow in September 2008. Earlier, the consideration of the appeal has been three times postponed for various reasons - because of illness of the lawyers, as well as because a supplement to the appeal was filed, to familiarize with which the trial participants needed time.
o MOSCOW — Firefighters have reduced the nationwide area on fire by almost 9,000 hectares over the past 24 hours, sources from the Russian Ministry for Emergency Situations’ information department told Tass on Wednesday. The number of fires has decreased by 45, while their total area of wildfires has shrunk by almost 9,000 hectares, the sources said.
o MOSCOW — The Moscow City Court will consider on Wednesday the appeal against the arrest in absentia of former president and first vice-president of the Bank of Moscow Andrei Borodin and Dmitry Akulinin, accused within the case over the theft of 13 billion roubles of bank money. Their lawyers asked to overturn the court resolution, which selected custody as the measure of restraint for Borodin and Akulinin. The resolution is illegitimate and unjustified, they said.
o VLADIVOSTOK — There was an earthquake with a magnitude of 4.5 points in the Sea of Okhotsk at a depth of 370 kilometres under its bed early on Wednesday morning, the Geophysical Service of the Russian Academy of Sciences reported.The quake epicentre was located at the same distance from the southern part of Sakhalin and the central part of the Kuril Islands. According to local seismologists, the depth earthquake poses no threat to populated localities of the island Sakhalin region and there was no tsunami threat.
· Moscow denounces new bombings of Tripoli
o Russia criticises latest NATO bombing in Libya - Russia has called NATO's latest bombings of Tripoli a 'grave departure' from UN resolutions on Libya that could lead to a further escalation in violence and cause more suffering.
· BRICs oppose European IMF head
· Deputy Finance Minister Storchak appoined EBRD deputy governor for Russia
· RUSSIA PROPOSES TO U.S. TO SIGN LEGALLY BINDING AGREEMENT ON GUARANTEES THAT MISSILE DEFENSE WILL NOT BE TARGETED AGAINST RUSSIA, U.S. - PRIKHODKO
· KREMLIN DISAGREES WITH ALLEGATIONS OF POSSIBLE PROBLEMS WITH START TREATY IN CONNECTION WITH MISSILE DEFENSE ISSUE – PRIKHODKO
· Presidents of Russia, France to discuss missile defense, nuclear energy – Prikhodko
· Russia to demand NATO explanations of actions in Libya – envoy in NATO.
· Ambassadors of NATO-Russia Council countries to meet in Brussels
o ABM and Libya will be discussed at a meeting of the Russia-NATO Council
o NATO likely planning ground operation in Libya, says Rogozin
· UPDATE 1-White House threatens veto over START limits
· EU diplomacy head disappointed with court decision on Khodorkovsky
o EU foreign policy chief blasts new Khodorkovsky verdict
· Russian-Ukrainian trade could exceed $50bn in 2011 - The Ukrainian president also said he intends to meet with Russian President Dmitry Medvedev in late June at a meeting of the Russian-Ukrainian strategy commission.
· Russia's Aeroflot cancels flight to Germany over volcano eruption
· Visiting Russian general opens security talks - A top Russian military commander paid a rare visit to Pakistan in a latest sign of growing ties between the bitter cold-war rivals.
· Inquiry launched into Chechens’ killings - A judicial tribunal of the Balochistan High Court (BHC) on Tuesday began its investigations into the Kharotabad shooting in which five Chechens were killed.
o Russian authorities have not received confirmation of info on killing of Russians in Pakistan (Part 2)
· Russia issues travel warning for Yemen - The Russian Foreign Ministry has urged Russian citizens to avoid visits to Yemen due to escalating political crisis in the Arab country.
· Extending contract on Gabala radar meets Azerbaijan's interests - News.Az interviews Zahid Oruj, member of the Azerbaijani Parliament, the Milli Majlis.
· Omurbek Abdyrakhmanov: Certain officials want to return Alfa Telecom to Maxim Bakiyev
· Dagestan and Azerbaijan seeking ways to strengthen cooperation
· Second Russia-EU innovative forum to open in Finland.
· Countries of Northern Africa interested in coop with Russia. - Countries of Northern Africa are interested in products of Russian machine-building industry, Tatyana Gvilava, the director of the Russian-Arab Business Council, said in an interview with Itar-Tass on Tuesday.
o Russia is open to Arab investments. - Russia is open to Arab investments. It’s ready to provide necessary guarantees and ensure high efficiency, Tatyana Gvilava, the director of the Russian-Arab Business Council, told Itar-Tass on Tuesday.
· Argentina recognises Rosatom - Russia and Argentina have signed a memorandum on cooperation in the peaceful use of atomic energy that recognises Rosatom as a possible supplier for a fourth Argentinian nuclear power plant.
· Pacific Fleet naval ships dock at Indonesian port of Makassar. - The group consists of the large anti-submarine ship Admiral Panteleev and the rescue tug Fotii Krylov. The ships will stay there till May 27, and Russian and Indonesian marines will hold a planned joint exercise to train communication, manoeuvring and rescue at sea, as well as will discuss fight against piracy.
· Secret Russian missile launch exposed - But on May 24, Russia’s Miass Missile Center announced that the launch was in fact a successful test of a new ICBM “Liner,” a project previously unknown to public and possibly a deep modernization of RSM-54 Sineva.
· Destruction of smallpox virus delayed - The United States had proposed a five-year extension to destroying the U.S. and Russian stockpiles, arguing that more research is needed and the stockpiles could help prevent one of the world's deadliest diseases from being used as a biological weapon.
· Putin to launch Agency for Strategic Initiatives. - During the presentation, the prime minister will answer questions of young entrepreneurs from the audience, as well as the participants in the presentation via a teleconference from Volgograd, Yekaterinburg and Tomsk.
· Twentieth International Banking Congress opens in St. Petersburg.
· Medvedev to meet orphaned children in the Kremlin.
· World Russian People‘s Assembly meets in Moscow to discuss basic national values
· RF Supreme Court to consider appeal in Yamadayev murder case.
· Policeman suspected of killing colleague in Nalchik - Investigations Committee
· Conference on anti-drug measures to be held in Stavropol.
o Afghan drug production grows 40 times during NATO presence-FSKN.
· Wildfires in Russia shrink by almost 9,000 hectares - EMERCOM.
· Jury Finds Nationalist Gang Members Guilty - A jury at St. Petersburg City Court last week found guilty 12 of 14 members of a nationalist gang charged with about 20 hate crimes, including the murders of African students and local ethnographer Nikolai Girenko.
· Endeavor astronauts make third spacewalk
· Russian Security Firm Breaks iOS Encryption
· Mironov disagrees Medvedev, Putin “gave the back” on him.
· RIA Russian Press at a Glance, Wednesday, May 25, 2011
· ITAR-TASS Russian press review.
· Better a Technocrat at the IMF - It will be interesting to see what role President Dmitry Medvedev decides to play Thursday at the Group of Eight summit in Deauville, France. Of the many issues on the crowded G8 agenda, the one that is not even to be formally discussed could show Medvedev’s true colors. By Martin Gilman
· The rebirth of Russian foreign aid - Report showing more than $470m spent on foreign aid last year highlights Russia's desire to maintain regional influence and rebuild its public image
· Despite Promises, Russian Draftees Are Fighting And Dying In North Caucasus
· New Times: Middle class ‘fleeing’ Russia
· Russia’s northern peoples use UN to press Moscow on ethnic rights
National Economic Trends
· Federal budget revenue seen higher in 2012-2013
· Russian Budget May Post Surplus in 2011 on Oil Income, OECD Says
· Q1 FDI Up 48% to $3.9Bln
· No decision on social tax cut yet
Business, Energy or Environmental regulations or discussions
· Russian Equity Movers: Mail.Ru, Norilsk, Rosneft, Surgutneftegas
· RusHydro May Sell Stake to China Yangtze, Enel, Kommersant Says
· TransContainer 25% Stake Sale May Be Postponed, Kommersant Says
· Grocer Dixy Q1 net profit up 27 pct to 164 mln rbls
· Eurochem posts 1Q 2011 net profit of 11.3 billion roubles
· Aeroflot 2010 net profit up 190% to $253 mln
· Alrosa posts 240 pct net profit growth in 2010
· ALROSA Issues Strong FY10 IFRS Results but Lack of Short-Term Clarity Disappoints
· Russian gold miners: The View from the Golden Balloon
· Africa Israel opens giant Moscow Mall
· Search engine Yandex up 55 percent on debut
· Russian Stocks Posting Slump on Elections, Oil
Activity in the Oil and Gas sector (including regulatory)
· Rosneft, China to discuss oil pricing in mid-June - Sources told Reuters on Tuesday that China called off talks with Russia scheduled for May 30-31 to iron out disputes over the price of Russian oil supplies via the pipeline monopoly Transneft (TRNF_p.MM).
· China says no oil pipeline dispute with Russia - China's Foreign Ministry said on Wednesday that energy cooperation with Russia was proceeding smoothly and the countries had no dispute over the East Siberia-Pacific Ocean (ESPO) crude oil pipeline.
· Presentation of South Stream project to be held in Belgian capital. - Presentation of the Southern Stream project will be held in the Belgian capital on Wednesday. Russian Energy Minister Sergei Shmatko, Gazprom CEO, Alexei Miller, CEO of South Stream AG Marcel Kramer, EU Energy Commissioner Guenther Oettinger, the heads of ENI and BASF corporations will attend the event.
· Rosneft Said to Seek Siberia Oil Exploration Deal With Japan
· Mol buy-back to cost €1.9bn - Hungary is set to pay €1.9bn to buy back more than one-fifth of Mol, the oil and gas company, from Surgutneftegaz, the secretive Russian energy group, ending a long-running share purchase saga that strained relations between Budapest and Moscow.
· Russia to auction part of Sakhalin Chaivo oil and gas deposit
· TNK-BP Inks Agreement With Skolkovo Fund on Energy Conservation