Exit Interview With US Amb. To Russia

U.S. Ambassador to Moscow Alexander Vershbow is wrapping up his duties, but paused to give a lengthy exit interview to Moscow Times. It covers a wide range of subjects, but delves deeply into Russia's troubled oil market.

Chevron and Exxon both have tried to get into the market, but Putin's take-over of private oil giant Yukos has clouded the picture:

The main problem in the oil sector, he said, was that the rules had not been defined. "They clearly have changed, but we're not sure where they're going to end up. And the constant message from [U.S. Energy Secretary Sam] Bodman, [U.S. Commerce Secretary Carlos] Gutierrez and everybody else who comes through here is, establish some clear rules, define what's strategic, what's not strategic, pass the necessary laws, implement them fairly and don't change them."

Vershbow said the ultimate impact of the Yukos case on the investment climate was not yet known because it was still not clear whether it was an isolated case or whether it was a pattern that would repeat itself.

"But I think the bottom line is that international investors and particularly the energy companies do want to get into the Russian market," he said. "They are hoping it was a one-off and that stable rules are clarified and maintained."

The interview also includes an interesting discussion of turmoil in the former Soviet republic.

h/t Jim