ARMENIA CASTS SHADOW OVER REGIONAL ENERGY

United Press International
2009/05/08/Armenia-casts-shadow-over-regional-ener gy/UPI-95611241796067/
May 8 2009

MOSCOW, May 8 (UPI) — Turkish moves to mend relations with Armenia
may harm the European energy sector as resource-rich Azerbaijan eyes
moves toward Russia in response.

Turkey moved toward normalizing relations with longtime foe Armenia
following a visit to Ankara by U.S. President Barack Obama. The
situation bodes well for Ankara’s ties to the European community but
could have a ripple effect on relations with oil-rich Azerbaijan.

The Czech presidency of the European Union on Friday hosted a major
summit in Prague to hammer out energy security in the region, calling
for implementation of measures on the long-awaited Nabucco pipeline
"as soon as possible."

The Prague summit brought together energy giants from the Middle
East and Caspian region to work in harmony in the regional oil and
gas sector, but with Azerbaijan deeply offended by Turkish moves
toward Armenia, efforts toward unity could unravel, Britain’s The
Daily Telegraph noted.

Azerbaijan sits on some of the richest resource fields in the world,
notably the Shah Deniz gas field and the Azeri-Chirag-Guneshli
oil complex. The EU puts considerable weight on those resources,
particularly as Prague urges swift action on Nabucco.

The Prague summit brings delegates from Turkmenistan and Azerbaijan
together on energy-security issues, but securing gas from the Caspian
region may require additional diplomatic efforts beyond oil and
gas contracts.