Prospects for Oil and Gas Development in Russia's Sakhalin Oblast

This paper examines the oil and gas industry of Sakhalin Oblast and its offshore areas, as well as the status of major investment projects. Sakhalin is the site of two of Russia's largest oil development projects with Western companies, both envisaged as major multibillion-dollar ventures. Both projects are described in detail, and remain contingent upon enactment in Russia's parliament of key pieces of oil legislation, most importantly a law on production sharing. The paper argues that even if such changes in Russia's legal and fiscal environment are forthcoming, the profitability of these projects remains uncertain, with actual development far from assured. 1 map, 2 tables, 11 references.     

The 'greening' of global project financing: the case of the Sakhalin-II offshore oil and gas project

This article responds to a plea for economic geographers to play greater attention to the world's resource peripheries. The article presents a detailed case study of oil and gas development offshore of Sakhalin in the Russian Far East. The study serves to illustrate the complexity of resource peripheries and to demonstrate how a critical approach to resource geographies aids economic geographic theorization of globalization. The case study focuses on how the 'greening' of global project financing has created a means by which environmental non-governmental organizations hold the international oil companies to account. The article describes the transnational advocacy network that has developed to protest against the Sakhalin-II project. The key issues are identified and the response of the operator, Sakhalin Energy, is considered. Finally, the recent actions of the Russian Government in relation to the environmental impacts of the Sakhalin-II project are examined. The article concludes by assessing the ways in which the Sakhalin case demonstrates the complex processes that construct resource peripheries and how such analyses contribute to the development of a truly global economic geography. Le 'verdissement' du financement de projets à     

Offshore Mineral Development in the Russian Barents Sea

Two Norwegian researchers examine the forces alternatively driving and hindering offshore hydrocarbon development in the Russian sector of the Barents Sea. The paper describes exploration activities beginning during the Soviet period and extending to the present, the status of the major development projects financed in part with foreign capital, and conflicting regional and central government interests involved in such development. Coverage includes the emergence of Rosshelf, an oil/gas conglomerate formed to facilitate defense conversion activities of major naval shipyards. Critical to analysis of the projects' potential is assessment of alternative gas supplies and energy development strategies. Journal of Economic Literature, Classification Numbers: O13, Q40, R10. 3 figures, 1 table, 63 references.     

The Russian Copper Industry and the Noril'sk Joint-Stock Company in the Mid-1990s

An American resource geographer examines current production in one of the world's major copper industries, with special emphasis on the Noril'sk Nickel Joint-Stock Company—the world's most important producer of platinum-group metals, a leader in nickel and cobalt output, and the leading Russian producer of copper as well. The author documents and analyzes changes in operating procedures and raw material supplies in the industry during the 1990s, focusing on adjustments (such as tolling arrangements and imports of concentrate in the raw-material-deficient Urals and efforts to introduce cost economies in resource-rich Noril'sk) prompted by the severing of industry production linkages of the Soviet period and their partial reintegration under new corporate structures. In addition to restructuring, likened to similar adjustments in the American copper industry, the investigation covers exploration and new mine development at various Russian locations as well as the economics of producing copper and other exportable metals at Arctic production centers. 1 figure, 4 tables, 103 references. Journal of Economic Literature, Classification Numbers: L61, L72, Q32.     

Monumentality in Urban Design: The Case of Russia

A prominent American urban geographer and observer of the Russian urban scene provides an overview of grand planning and monumental urban design in Russia and the former Soviet Union through the lens of four themes outlined in a previous paper by Larry Ford (2008). In the process, he adds two more themes relevant to Russia and the former USSR: town building and architecture intended to define and legitimize state power, and the shaping or remodeling of society to reflect a regime's ideology. Noting the obstacles in the West to getting large urban projects planned, accepted, and completed, he argues that monumental urban landscapes appear to demand some degree of sustained, centralized, authoritarian leadership. The latter has been present in Russia and the USSR during much of the past millennium, including the present, but the emergence of new commercial/corporate forces in urban land development also bears scrutiny in studies of the processes promoting urban monumentality. Journal of Economic Literature, Classification Numbers: O18, R14, R52. 10 figures, 44 references.     

Russia's Accession to the World Trade Organization

A prominent specialist on the Russian economy presents a timely assessment of Russia's accession to the World Trade Organization. The author discusses the reasons that prompted Russia to seek membership and scrutinizes the major obstacles, such as complexities of the accession process and the country's institutional malaise. An analysis of the effects of possible membership on the Russian economy is followed by a focus on Putin's first term (2000-2003) when he supported entry, and the second (2004-2007) when he lost interest. Also presented are two scenarios projecting reinvigorated pursuit of Russian membership, or abandonment of the goal. Journal of Economic Literature, Classification Numbers: F13, F40, O19. 1 table, 46 references.     

Bank Depositor Behavior in Russia in the Aftermath of Financial Crisis

An international team of economists examines the factors influencing the behavior of Russian depositors in the immediate aftermath of that country's 1998 financial crisis, drawing upon two largely unutilized data sources—data from the Russian state savings bank Sberbank and a November 1998 household survey. After first reviewing the evolution of the household deposit market during the 1990s, they explore regional variations in net withdrawals from Sberbank branches during the period August-October 1998 as well as identify characteristics of individual/household depositors making (or attempting to make) such withdrawals. More severe runs on Sberbank outlets are found to be associated with more affluent and entrepreneurial regions, regions of more youthful and less educated population closer to Moscow, and areas with greater media freedom. Subsequent public opinion survey analysis of the socioeconomic correlates of runs on all Russian banks during the 1998 crisis reveals some interesting differences (in the effects of education in particular) on the propensity to successfully withdraw deposits.     

Developments in Russian Gas Production Since 1998: Russia's Evolving Gas Supply Strategy

An American geographer and prominent authority on the oil and natural gas industries and resources of Russia and other former republics of the Soviet Union reports on overall trends in Russia's natural gas production in the years following the country's ruble devaluation and financial crisis. The account—based on systematic in-country observations, discussions/interviews with industry executives, and a review of industry sources—focuses on factors affecting domestic supply and demand as well as export capacity (will Russia have enough gas to meet rising domestic demand while fulfilling its export obligations?), regional patterns of production (and performance of Gazprom regional production enterprises), obstacles to the use of associated gas derived from crude oil extraction, and major pipeline construction projects in West Siberia and the Russian Far East. The paper concludes by outlining CERA's forecast for Russian gas production to 2020, also disaggregated by region. Journal of Economic Literature, Classification Numbers: L71, O13, Q40, Q48. 7 figures, 8 tables, 51 references.     

The Role of Russian Big Business in Local Development

The paper, based in part on field surveys in 2006, examines the role played by large Russian companies in local development, focusing on the operations of SUAL and Severstal' in Northwest Russia. The two companies provide examples of different models of corporate behavior (transnational and paternalist) in the current Russian business environment, reflecting a choice more broadly between neoliberal and corporate-nationalistic versions of Russia's participation in globalization. The author investigates the implications of the different models for the local jurisdictions in which these companies operate. Journal of Economic Literature, Classification Numbers: D21, L20, O18, P20. 2 figures, 1 table, 48 references.     

Perspectives on the Potential of Russian Oil

A prominent American specialist on the economy of the former USSR comments on Russian oil in light of a preceding paper on the subject. Noting the congruence of Russia's economic growth with world oil prices, the author points out that the country's growth is endangered by sharp declines in those prices. He also recalls how an oil windfall shaped Russian thinking in the 1970s, questions how long Russia can pump oil at its maximum level by invoking the American experience from 1859 through the peak in 1970 until the present, analyzes the two corporate models in the Russian oil sector, and briefly outlines Putin's new approach to foreign investment in the sector. Journal of Economic Literature, Classification Numbers: L71, O13, O18. 3 figures, 8 references.     

Oil Exploration in Russia: Prospects for Reforming a Crucial Sector

Two seasoned observers of the Russian oil industry analyze the country's policy response to developments in its mineral resources base (often perceived as an exploration crisis), with a focus on oil. The authors review and discuss trends in exploration (including its organization and efficiency), recent developments in its financing, and the reorganization of exploration activity. The evolution of Russia's licensing system is presented, drawing attention to changes that have affected incentives, risks, and barriers to potential resource users, both Russian and foreign. Also identified are conflicts between the objectives of resource managers and broader political goals and interests. Journal of Economic Literature, Classification Numbers: L710, Q310, Q380, Q410. 4 figures, 40 references.     

Missing Links. Indigenous Life and Evolutionary Thought in the History of Russian Ethnography

The history of Russian social anthropology has long been best known for the work of three, late nineteenth-century “exile ethnographers,” each sent to the Russian Far East for their anti-tsarist activities as students. All three men—Vladimir Bogoraz, Vladimir Iokhel'son, and Lev Shternberg—produced voluminous and celebrated works on Russian far eastern indigenous life, but it was the young Shternberg who had perhaps the most profound effect on setting the agenda for the canonic evolutionist line soon to take hold in late Russian imperial and early Soviet ethnography. This essay draws on archival, library, and field research to revisit the life and work of Shternberg in order to tell the story of “group marriage” that he documented for the life of one Sakhalin Island indigenous people, Gilyaks (or Nivkhgu, Nivkhi). Documented in this way by Shternberg, the Nivkh kinship system proved a crucial “missing link” for Friedrich Engels, who had long been eager to provide evidence of primitive communism as man's natural state. For Gilyaks, the die was cast. Their role as the quintessential savages of Engels’ favor made them famous in Russian and Soviet ethnographic literature, and significantly enhanced their importance to Soviet government planners. This essay tracks that episode and its aftermaths as a pivotal moment in the history of Russian social anthropology and of evolutionist thought more broadly.     

Russia's Energy Policy: A Framing Comment

A prominent specialist on the Russian economy provides a framing comment on two preceding papers entitled "Russia's Energy Policy" (by Vladimir Milov, Leonard Coburn, and Igor Danchenko) and "Russia's Energy Policy: A Divergent View" (by Matthew J. Sagers). The author argues that Russia's current energy policy should be viewed as an outcome of competition between three overlapping programs. In this context, he identifies three policy models—the old Soviet, the liberal or oligarchic, and the most recent state capitalist. The latter is currently supported by President Putin, who prioritizes diversification of the country's economy at the expense of diminished investments in the oil and gas sector. Journal of Economic Literature, Classification Numbers: L71, O13, Q40, Q48. 2 tables, 2 figures, 22 references.     

Environmental Degradation of Russian Coastal Regions: Exploring the Gulf of Finland

An American geographer and Russian ecologist discuss current and prospective environmental hazards precipitated by large-scale infrastructure projects on Russia's southern coast of the Gulf of Finland. The region, investigated by both authors during the course of regular field research from 1999 to 2009, is one of the best environmentally preserved coastlines of the Baltic Sea with abundant potential greenfield sites, largely due to its closed-border-zone status during the Soviet period. A favorable location for trade also places the region under intense development pressure. The authors devote particular attention to two major developments, a multifunctional port complex (which inter alia serves as a major pipeline terminus and oil export port) and expansion of an existing nuclear power plant. Based on extensive personal observations and government documents, they analyze the emerging environmental threat posed by these initiatives as well as the challenging political environment that discourages public participation and local involvement in spatial planning.     

Sovereign Power,Biopower, and the Reach of the West in an Age of Diaspora‐Centred Development

Why at this particular historical moment has there emerged a rousing interest in the potential contribution of diasporas to the development of migrant sending states and why is this diaspora turn so pervasive throughout the global South? The central premise of this paper is that the rapid ascent of diaspora‐centred development cannot be understood apart from historical developments in the West's approach to governing international spaces. Once predicated upon sovereign power, rule over distant others is increasingly coming to depend upon biopolitical projects which conspire to discipline and normalize the conduct of others at a distance so as to create self‐reliant and resilient market actors. We argue that an age of diaspora‐centred development has emerged as a consequence of this shift and is partly constitutive of it. We develop our argument with reference to Giorgio Agamben's “Homo Sacer” project and in particular the theological genealogy of Western political constructs he presents in his book The Kingdom and the Glory (2011). We provide for illustration profiles of three projects which have played a significant role in birthing and conditioning the current diaspora option: the World Bank's Knowledge for Development Programme (K4D); the US‐based International Diaspora Engagement Alliance (IdEA); and the EU/UN Joint Migration and Development Initiative Migration4Development project (JMDI‐M4D). Drawing upon economic theology, we make a case for construing these projects as elements of the West's emerging Oikonomia after the age of empire.     

Bank Liquidity Creation in Russia

Two EU-based senior economists analyze the contribution of bank liquidity creation to the Russian economy, as well as changes in creation of liquidity occurring during the global financial crisis. Applying the methodology of Berger and Bouwman's (2009) study of U.S. banking to a rich panel dataset for Russian banks for the period 1999-2009, the authors compute three alternative measures of bank liquidity creation. They find evidence of increased creation of liquidity in real terms over the period and also determine that state-controlled (versus private) banks and Russia's largest banks (versus intermediate-size and small banks) contributed most to liquidity creation (lower in Russia than in the U.S.). Their findings suggest that consolidation of the Russian banking sector may prove more instrumental in increasing liquidity creation than privatization per se.     

Observations on the Costs of the Yukos Affair to Russia

A prominent senior British specialist on the Russian economy reviews some consequences of the Russian state's dismemberment and partial re-nationalization of the Yukos oil company. The implications for state interventionism of Russia's engagement in international markets are assessed, and the effects of market feedbacks to Russian policymakers analyzed. Also considered is the question of whether Russian economic structure is changing in ways that could lessen the vulnerability of business to state action. Journal of Economic Literature, Classification Numbers: F21, F23, F32, L71. 4 figures, 1 table, 16 references.     

Russian Agriculture During Putin's First Term and Beyond

An American specialist on Russian agriculture surveys developments during Putin's first term in office, as well as the challenges that loom for the future. The focus is on how economic growth more broadly, and agrarian reform policy more specifically, have led to increasing agricultural output and improved financial stability of farms, with emphasis on the large-farm sector (former state and collective farms). Among the at least partially successful stabilization measures described in some detail are development of reliable sources of farm credit, debt restructuring and cancellation, greater fulfillment of state budget obligations, state intervention in grain markets, and trade protectionism. The paper also assesses the agenda for increasing Russian agriculture's global competitiveness in Putin's second term. Journal of Economic Literature, Classification Numbers: F13, O18, Q10. 3 tables, 61 references.     

Mamiya Rinzō and the Japanese exploration of Sakhalin Island: cartography and empire

In 1808–1809, a Japanese cartographer named Mamiya Rinzō (1775–1844) traveled to Sakhalin Island, called Kita Ezo or Karafuto by the Japanese, to map the land and document its inhabitants and natural features. In the seventh month of 1809, according to the lunar calendar, Mamiya arrived at Deren, a Chinese outpost along the Amur River in the Heilongjiang region. When Mamiya mapped Sakhalin and central Heilongjiang, he employed Western cartographic sciences to guard Japanese sovereignty by delineating national borders between Russia, China, and Japan; but he also ‘anticipated empire’ in a manner reminiscent of European powers. His maps placed Sakhalin on a universally recognizable grid and emptied the land of its inhabitants, who were formally relegated to the pages of illustrated ethnographies. Mamiya's activities, as well as those of cartographer Inō Tadataka (1745–1818), suggest a global early modern experience with cartography and ethnography, one in which Japan emerged as a periphery of calculation and deployed cartographic tools to construct nation and empire.     

„Fremde Körperwelten”︁. Russische Anthropologie und Medizin im kolonialen Diskurs des ausgehenden Zarenreiches

?Exotic Bodies”?: Russian Anthropology and Medicine in the Colonial Discours of Late Imperial Russia. In the nineteenth century Russian anthropologists adopted Western theories on the biological superiority of the white man in order to justify Russian colonization at the Asiatic periphery. After the Great Reforms the imperial process of acculturation was discussed in the context of modernization that also touched the institutionalization of colonial medicine. Whereas Russian armchair anthropologists were operating with racial idioms, physicians as practitioners on the colonial spot were not receptive to the ideology of “white man's burden”. From experience with the socioeconomic backwardness of Russia's Asiatic periphery physicians stood up for the vital rights of the indigenous population in the colonial Public Health. With deep respect for indigenous medicine Russian physicians were not advocates of Russian colonial expansion and racial discrimination that made them different to their Western colleagues. On the basis of Russian nineteenth century medical literature and Siberian archival sources this paper outlines the critical reflections of Russian physicians on Tsarist colonialism