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MOSCOW, December 5 (RIA Novosti) LUKoil official could spend some time in Libyan prison / Most young post-Soviet politicians drawn towards West / Russians not ready for Putin as "national leader" / Moscow, Kiev come to terms on gas prices / Abramovich regains access to Russian gold / GM eyes a "hefty slice" of AvtoVAZ

Novye Izvestia

LUKoil official could spend some time in Libyan prison

Alexander Tsygankov, head of LUKoil Overseas in Libya, was detained in Tripoli on November 25 in an investigation related to a tender for major gas deposits, with the case being put forward as commercial espionage.
The official of Russia's largest private oil company was detained, although not charged, and LUKoil Overseas' offices were searched over a suspected leak of information before the December 9 tender for 12 gas exploration licenses in Libya, to be attended by 33 companies.
Apart from LUKoil, the list of bidders includes ExxonMobil, Shell, BP, Total, Chevron, StatoilHydro, Gaz de France, Eni, and Gazprom.
The demand for Libyan natural gas has grown recently because Europe wants to reduce its gas dependence on Russia.
Libyan officials claim that the Russian oil company used bribes to receive information about its rivals' bids, which helped it to revise its offer and increased its chances for victory at the tender.
Anatoly Yegorov, a professor at the Institute of Oriental Studies, said: "Many bidders usually take part in such tenders, and [the detainment of Tsygankov] could be a method by Libyan officials to weed out LUKoil."
Experts believe that Tsygankov might spend some time in a Libyan prison.
"Under Libyan law, even witnesses may be detained, and [Tsygankov] can easily turn from a witness into a suspect or defendant," Yegorov said.
"He is unlikely to be released soon, not unless our representatives bang their fists. Libyan law is very harsh, and punishment for espionage includes execution. Prisons are built underground in Libya, and conditions in them are far from good. Libyans usually try foreigners, rather than repatriate them to their home countries. Russia has strained relations with Libya, which considers all foreigners as enemies."
The Russian authorities were active in a similar case abroad only once, when two officers of the Russian military intelligence service, GRU, were sentenced to death in Qatar for the murder of Zelimkhan Yandarbiyev, a Chechen terrorist leader, in 2004. Igor Ivanov, Secretary of the Russian Security Council, went to Doha then to convince the Qatar authorities to release the men.

Kommersant

Most young post-Soviet politicians drawn towards West

The election of Arseny Yatseniuk, 33, as speaker of the Ukrainian parliament, is yet another sign of a change in the political elites in the CIS, said Alexei Makarkin, deputy general director of the Center for Political Technologies (a Moscow think tank). The young politician's service record includes two ministerial jobs, as Ukraine's economics and foreign minister. Old Soviet bureaucracy is ceding its positions, giving way to the young and daring.
According to the expert, the average age of the top five politicians leading the pro-presidential Our Ukraine-Peoples' Self-Defense bloc is 40 years. In the Georgian government, the share of young politicians is even higher. Many young people are part of the ruling elites in the Baltic countries. The residents of Moldova's capital elected a 29-year-old mayor this year.
The overwhelming majority of young post-Soviet politicians have something in common - they are Western-oriented. Some of them have done their bachelors' and masters' degrees at Western universities, others have worked there as trainees, still others are involved in interaction with foreign colleagues through all sorts of international events, from modest roundtables to large-scale forums. Most of them are fluent in English, and largely lean on Western political and cultural standards, Makarkin said.
Russia's powers that be are not happy with the changes, according to the expert. The new leaders in the CIS are not nostalgic for the Soviet Union in the slightest, and they have hardly anything in common with modern Russia. They see it as a major oil power close to their borders, something that must be taken into account simply because it is there and they can't help it.
As for Russia, it is not currently in a position to help form any alternative to the new generation of CIS politicians. Admittedly, the West began reaching out to them before Russia had even thought of it, but the problem is deeper than that. Today's Russia can hardly seem attractive to them, with its predictable election outcome, anti-Western rhetoric, and tough government control of the media, the expert concluded.

Vedomosti

Russians not ready for Putin as "national leader"

Despite the sky-high rating of Russian President Vladimir Putin, far from all Russians would like to have him as their "national leader." Some do not understand the meaning of the word, while others fear a Stalin-like personality cult.
According to the Levada pollster, only 17% of the respondents whole-heartedly approve of Putin as the national leader, 30% reject the idea as reminiscent of a personality cult, and 27% would accept the idea only if Putin's new status was approved at a national referendum or clearly worded in the Constitution.
Only 39% of the respondents said they had heard about plans to proclaim Putin the "national leader," while 60% know nothing about it.
The poll was held on November 23-26 in 46 Russian regions and involved 1,600 respondents, 84% of whom could not provide a definition of the phrase "national leader."
Neither could 52% of the respondents in the November 9-10 survey conducted by the VTsIOM national public opinion pollster.
The idea of granting Putin the title of the "national leader" has become widespread in the past few months thanks to the efforts of the For Putin movement of Putin's supporters and the pro-Kremlin party United Russia.
Valery Fyodorov, head of VTsIOM, said that the term "national leader" had been coined only recently and discussed mainly by the Russian elite, and has no historical analogues. This is why the respondents find it so difficult to comprehend it, he said, adding that an additional reason could be Russian intellectuals' a priori negative attitude to the authorities.
Alexei Grazhdankin, deputy head of the Levada Center, said the unwillingness to formalize the "national leader" status for Putin testifies to the Russians' growing democratic awareness. The people don't like facts pointing to attempts to revive Soviet traditions, he said.

Gazeta.ru, Vremya Novostei

Moscow, Kiev come to terms on gas prices

Against all expectations, Russia and Ukraine reached an agreement on gas prices rather quickly. It is likely the haste, detrimental to the whole round of mid-term gas price talks (as Gazprom insisted), is explained by the political developments in Kiev where the "orange coalition" may soon form a new government. Signed contracts for 2008 could become a basis for Russia's relations with the new government.
In 2008, gas will cost $179.5 per 1,000 cubic meters at the two countries' border. At the same time, Gazprom has agreed to raise its gas transit tariff via Ukraine by 10 cents (to $1.7 per 1,000 cubic meters/100 km). The tariff for transporting Central Asian gas for Ukraine's needs via Gazprom pipelines will be raised symmetrically (to $1.7).
According to the available sources, the respective amendments to the operating contracts must be signed on December 5, 2007.
On December 4, Alexander Turchinov, deputy chairman of the Yulia Tymoshenko Bloc, called Russian-Ukrainian agreements on gas prices "high treason." He recalled that Prime Minister Viktor Yanukovych and Fuel and Energy Minister Yury Boiko promised that gas prices would not be raised above $160.
"Even with the price of $179.5, Gazprom's gas supplies will be profitable. Russia will buy gas from Turkmenistan for $130 and sell it at a price nearly $40 higher,|" said Alexander Razuvayev, head of Sobinbank's market analysis department.
True, the question arises about the share of Russian and Turkmen gas in Gazprom's gas supplied to Ukraine. The Turkmen gas price went up by 30% and the Russian gas price much less, considering the figures the sides have agreed upon. Therefore, Gazprom may reduce the share of its own gas to prevent losing profits when selling the mix. Finally, Gazprom could act only as a trader supplying Turkmen gas to Ukraine, while Russian gas will go straight to Europe.

Izvestia

Abramovich regains access to Russian gold

Millhouse investment company will buy out two share issues of British-Canadian Highland Gold Mining company for $400 million. The company managing the assets of Chukotka governor Roman Abramovich will thus obtain 40% of shares of Russia's fourth largest gold miner.
Abramovich is amassing assets again. Yet only two years ago he sold out everything he had, including the gold fields now owned by Highland.
It all began in 2001 with the sale of Channel One (then ORT) shares. In 2002, he sold Mnogovershinnoye gold mining company and Darasun and Novoshirokoye deposits to Highland Mining, whose co-owner Abramovich is now going to become.
In 2003, he sold off stakes in Sibneft and Aeroflot. At the same time Oleg Deripaska bought out Abramovich's stake in RusAl and several power companies.
The crowning event was the final sale of Sibneft to Gazprom in 2005 for $13 billion.
It seemed Abramovich had lost all interest in Russian business. The only strings that attached him to Russia were his post as Chukotka governor and a sponsor contract with the CSKA soccer club.
Even here everything was flimsy - Abramovich tried, but failed, to shed the two duties. Now literally within two years the scene has changed completely. Abramovich is back on Russian markets again. For a start he showed interest in metals. Now his gaze has turned to a gold mining company.
Highland in turn hopes to bid in a tender for Russia's largest gold deposit - Sukhoi Log.
But under new Russian laws, foreign investors can have only restricted access to strategic industries. That is why the company has found a big-time partner with local roots.

Vedomosti

GM eyes a "hefty slice" of AvtoVAZ

AvtoVAZ is close to getting a strategic partner. The world's largest auto manufacturer General Motors has made an official bid for a large stake in Russia's biggest carmaker.
A few days ago, GM made an offer to buy a considerable stake in AvtoVAZ, Marc Kempe, a GM spokesman for Central and Eastern Europe, told Vedomosti.
He gave neither the size of the stake nor its price, only describing it as "competitive." The decision, Kempe said, was taken at GM headquarters, and the bid went through all the official channels. He declined to discuss GM production plans if it acquired a share of AvtoVAZ.
AvtoVAZ has been casting about for a strategic partner for several years now. Its chairman, Sergei Chemezov, said in spring he was ready to sell a blocking stake in AvtoVAZ to a strategic investor and another 20% to one or two Russian metal makers.
The reviewing parade is drawing to a close. Rosoboronexport wanted to air the question at a directors' meeting on December 7, several sources at the plant said. According to them, there are three bidders: Renault, Fiat and GM.
All of them must submit their bids before December 6, but not all of these are yet in, said a source in AvtoVAZ's management.
Renault framed its proposal last year. It wants to swap the Renault Logan platform for a stake in AvtoVAZ and assemble Logans under its own brand at the plant's facilities.
Fiat's president Sergio Mariconne said on Saturday Fiat was considering the possibility of investing in AvtoVAZ.
AvtoVAZ Group president, Boris Alyoshin, would not comment on the GM offer, suggesting that interested parties ask shareholders. A Rosoboronexport spokesman declined to comment.
The official bid by GM to buy a stake in AvtoVAZ is serious news, said a businessman familiar with the plant's management: until now it was AvtoVAZ that wanted to sell a stake to GM.
GM has more than investment to offer to AvtoVAZ in exchange for its shares, said Yelena Sakhnova, an analyst with Deutsche UFG. For example, AvtoVAZ could benefit from budget cars of the GM DAT product line-up (former Daewoo models).


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