Seemorerocks: Saudis offered secret oil deal to the Russiams

We've known about this for several days or weeks but the Telegraph writes about this today. Putin rejected the offer.

Because of the relevance to events in the Middle East I have included an article from InfoWars which I would possibly treat with some caution

Saudis offer Russia secret oil deal if it drops Syria

Saudi Arabia has secretly offered Russia a sweeping deal to control the global oil market and safeguard Russia’s gas contracts, if the Kremlin backs away from the Assad regime in Syria.

The Telegraph,

27 January, 2013

The revelations come amid high tension in the Middle East, with US, British, and French warship poised for missile strikes in Syria. Iran has threatened to retaliate.

The strategic jitters pushed Brent crude prices to a five-month high of $112 a barrel. “We are only one incident away from a serious oil spike. The market is a lot tighter than people think,” said Chris Skrebowski, editor of Petroleum Review.

Leaked transcripts of a closed-door meeting between Russia’s Vladimir Putin and Saudi Prince Bandar bin Sultan shed an extraordinary light on the hard-nosed Realpolitik of the two sides.

Prince Bandar, head of Saudi intelligence, allegedly confronted the Kremlin with a mix of inducements and threats in a bid to break the deadlock over Syria. “Let us examine how to put together a unified Russian-Saudi strategy on the subject of oil. The aim is to agree on the price of oil and production quantities that keep the price stable in global oil markets,” he said at the four-hour meeting with Mr Putin. They met at Mr Putin’s dacha outside Moscow three weeks ago.

“We understand Russia’s great interest in the oil and gas in the Mediterranean from Israel to Cyprus. And we understand the importance of the Russian gas pipeline to Europe. We are not interested in competing with that. We can cooperate in this area,” he said, purporting to speak with the full backing of the US.

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The talks appear to offer an alliance between the OPEC cartel and Russia, which together produce over 40m barrels a day of oil, 45pc of global output. Such a move would alter the strategic landscape.

The details of the talks were first leaked to the Russian press. A more detailed version has since appeared in the Lebanese newspaper As-Safir, which has Hezbollah links and is hostile to the Saudis.

As-Safir said Prince Bandar pledged to safeguard Russia’s naval base in Syria if the Assad regime is toppled, but he also hinted at Chechen terrorist attacks on Russia’s Winter Olympics in Sochi if there is no accord. “I can give you a guarantee to protect the Winter Olympics next year. The Chechen groups that threaten the security of the games are controlled by us,” he allegedly said.

Prince Bandar went on to say that Chechens operating in Syria were a pressure tool that could be switched on an off. “These groups do not scare us. We use them in the face of the Syrian regime but they will have no role in Syria’s political future.”

President Putin has long been pushing for a global gas cartel, issuing the `Moscow Declaration’ last to month “defend suppliers and resist unfair pressure”. This would entail beefing up the Gas Exporting Countries Forum (GECF), a talking shop.

Mr Skrebowski said it is unclear what the Saudis can really offer the Russians on gas, beyond using leverage over Qatar and others to cut output of liquefied natural gas (LGN). “The Qataris are not going to obey Saudi orders,” he said.

Saudi Arabia could help boost oil prices by restricting its own supply. This would be a shot in the arm for Russia, which is near recession and relies on an oil price near $100 to fund the budget.

But it would be a dangerous strategy for the Saudis if it pushed prices to levels that endangered the world’s fragile economic recovery. Crude oil stocks in the US have already fallen sharply this year. Goldman Sachs said the “surplus cushion” in global stocks built up since 2008 has been completely eliminated.

Mr Skrebowski said trouble is brewing in a string of key supply states. “Libya is reverting to war lordism. Nigerian is drifting into a bandit state with steady loss of output. And Iraq is going back to the sort of Sunni-Shia civil war we saw in 2006-2007,” he said.

The Putin-Bandar meeting was stormy, replete with warnings of a “dramatic turn” in Syria. Mr Putin was unmoved by the Saudi offer, though western pressure has escalated since then. “Our stance on Assad will never change. We believe that the Syrian regime is the best speaker on behalf of the Syrian people, and not those liver eaters,” he said, referring to footage showing a Jihadist rebel eating the heart and liver of a Syrian soldier.

Prince Bandar in turn warned that there can be “no escape from the military option” if Russia declines the olive branch. Events are unfolding exactly as he foretold.

Saudis Threaten Russia With Olympic Terrorist Attacks Unless It Abandons Syria Support

Details of secret talks between Putin, Saudi prince leaked; Intel head admits to controlling Chechen jihadists in Syria

Info Wars,

27 August, 2013

Saudi intelligence has issued a tacit threat to have terrorist attacks carried out in Russia at the Winter Olympics in February 2014, should the state continue to support the Assad regime in Syria.

The threat was revealed in leaked transcripts of a closed-door meeting three weeks ago between Russia’s Vladimir Putin and Saudi Prince Bandar bin Sultan.

It appears that following initial vocal concerns expressed by Gulf state diplomats and senior leaders of the Syrian opposition, the leaked material was provided to the Russian media. More details then emerged in the Lebanese newspaper As-Safir, which is sympathetic to Hezbollah and thus extremely inhospitable toward Saudi Arabia.

The respected middle east news agency Al Monitor carries a translated version of the As-Safir report which suggests that during the talks, Bandar, who heads the primary Saudi intelligence agency, allegedly presented a cornucopia of offers and threats with regards to Syria.

In return for Russia’s cooperation, Bandar is alleged to have promised to safeguard Russia’s naval base in Syria should Assad be forced from power.

Perhaps the most interesting snippet in the report, has Bandar suggesting that should Russia elect not to reach an agreement over Syria, Chechen terrorist attacks may be carried out on the Russian hosted Winter Olympics next year in Sochi.

“I can give you a guarantee to protect the Winter Olympics next year.” Bandar is alleged to have said. What makes the pledge threatening is that he is also quoted as saying “The Chechen groups that threaten the security of the games are controlled by us.”

Bandar also allegedly stated that Chechen terrorists currently in Syria were a tool that could be used at will.

“The Chechen groups that threaten the security of the games are controlled by us, and they will not move in the Syrian territory’s direction without coordinating with us.” Bandar is quoted as saying. “These groups do not scare us. We use them in the face of the Syrian regime but they will have no role or influence in Syria’s political future.” he added.

Bandar also allegedly said that he was speaking with the full backing of the US government.

The London Telegraph also reported on the leaked notes, noting the Saudi prince’s attempt to further sweeten Putin with a secret sweeping oil deal and a pledge to safeguard Russia’s gas contracts should he abandon support for the Assad government.

The deal appears to be in the form of an offer to form a Russian/OPEC alliance on oil production that would significantly affect global markets. While Syria is not a major oil producer, any military action taken against the country could have wider repercussions on oil markets.

Vladimir Putin is said to have responded “We know that you have supported the Chechen terrorist groups for a decade. And that support, which you have frankly talked about just now, is completely incompatible with the common objectives of fighting global terrorism that you mentioned. We are interested in developing friendly relations according to clear and strong principles.”

The Russian president is also said to have commented “Our stance on Assad will never change. We believe that the Syrian regime is the best speaker on behalf of the Syrian people, and not those liver eaters.” referring to the rebels.

Bandar is said to have responded that there would be “no escape from the military option” if Russia were to decline the Saudi terms for accord.

The leaked transcripts do dovetail with initial reports that sourced anonymous European and Arab diplomats.

It is possible that the leaked transcripts could be embellished by Russian intelligence, for propaganda purposes. However, the detail contained within them makes them appear authentic. Regardless, the report makes for compelling reading, particularly considering Saudi Arabia’s eagerness to take decisive action to overthrow and remove the Syrian government permanently.

Webster Tarpley has also recently detailed the fallout of the Saudi/Russian standoff: