Russia's Actions in Crimea Are REALLY Bad for the Energy Business

It may not happen today. It may not happen tommorrow. But someday, Russia's annexation of Crimea will take a bite out of its massive energy industry. With over 50% of the federal budget coming from oil and gas revenues and multibillion-dollar agreements with big oil players ExxonMobil (NYSE: XOM  ) , BP (NYSE: BP  ) , and Total (NYSE: TOT  ) , it is very possible this deal could severely hurt the Kremlin's pocketbook more than it realizes.

The trouble facing Russia's energy industry will probably not come from economic sanctions; Russia's contributions to the global oil and gas market are simply too much to make up from other places. However, aggression like this will very likely cause its largest customer, the European continent, to reduce its reliance on Russian exports though other investments. Find out how else this could affect Russia and even the future prospects of these big oil players by tuning into the video below.

One company that could make Russia's energy power evaporate
Slowly, but surely, the oil and gas production is slowly moving away from the traditional sources such as Russia and OPEC . Much of that movement has been thanks to major strides in oil and gas drilling technology, and one behind-the-scenes energy giant is at the epicenter of this movement. Warren Buffett is so confident in this company's power-shifting business model, he just loaded up on 8.8 million shares. An exclusive Motley Fool report reveals this game-changing company we're calling OPEC's Worst Nightmare. Simply click here, and we'll give you free access to this valuable investor resource.


Read/Post Comments (0) | Recommend This Article (2)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2883486, ~/Articles/ArticleHandler.aspx, 10/23/2014 12:32:46 AM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...


Advertisement