Aureus,

I have had similar thoughts and posed the same question on this forum following a large gas discovery by Shell off the Norwegian coast. I've done a little research since and found that whilst OPEC has a large degree of control over international oil supply - and thereby prices, the gas industry seems comparatively fractured. Oil prices have fluctuated dramatically despite OPEC control and the reason is generally attributed to speculators so even OPEC has it's limitations. I've pasted in the following article about GECF. The organisation seems a little 'toothless' to me but I think it could become far more powerful if industry, indeed countries, move away from oil. I think more cooperation between members would help prevent a 'glut' of gas on the market ensuring that prices remain at a 'decent' level and that the world can benefit from this much cleaner form of energy for years to come...

About GECF - Gas OPEC

DEFINITIONS:

1) GEFC

GECF = Gas Exporting Countries Forum

The Gas Exporting Countries Forum (GECF) is an organization of world's leading gas producers, which was established in Tehran in 2001. The aims of the GECF are:

to foster the concept of mutuality of interests by favouring dialogue between producers, between producers and consumers and between governments and energy-related industries;

to provide a platform to promote study and exchange of views;

to promote a stable and transparent energy market.

The GECF has no official statute or charter.

The forum doesn't have fixed membership structure, however Algeria, Bolivia, Brunei, Egypt, Equatorial Guinea, Indonesia, Iran, Malaysia, Nigeria, Qatar, Russia, Trinidad & Tobago, the UAE and Venezuela could be identified as current members.


Turkmenistan, Bolivia, Indonesia, Libya and Oman have participated at different ministerial meetings. Norway has status of observer.

http://en.wikipedia.org/wiki/Gas_Exp...ountries_Forum

2) IANNGO

IANNGO = The International Alliance of Nongovernmental Natural Gas Organizations.

The IANNGO, in the conception of its organizers, would "create condition for the just distribution of income from the export of gas between producers and countries that transport gas, and form common investment sources for the development of the gas industry."

The main difference between IANNGO and GECF is that the former will unite "nongovernmental gas organizations and leading gas companies of the countries producing and transporting natural gas," while the latter is an intergovernmental structure.

http://www.kommersant.com/p884944/r_..._gas_supplies/

MAIN QUOTES:

"The main difference between IANNGO and GECF is that the former will unite "nongovernmental gas organizations and leading gas companies of the countries producing and transporting natural gas," while the latter is an intergovernmental structure." - Kommersant

"There were two draft charters, a 'tough' one designed by Iran, and Russia's 'more delicate' version. Iran has proposed to regulate the functioning and principles of a gas equivalent of OPEC, while Russia's draft envisages fixing gas pricing mechanisms and gas transit routs." - RIA Novosti

"A senior Russian Industry and Energy official told Kommersant it was not clear whether the emergence of the cartel would be announced at the Moscow forum." - RIA Novosti

"Strategically, it is important for Russia not to overdo with the talk about a gas cartel. The emergence of an influential union of gas producers may seriously upset the balance of forces and interests, and become a reason for major conflicts and confrontation between energy producers and consumers." - RIA Novosti - 11/ 04/ 2007

"As soon as Russia announced South Stream, Iran said it was ready to become the resource base for Nabucco and began making bilateral contracts for gas delivery to the EU on the Transadriatic Gas Pipeline from Turkey to Greece and, eventually, to Italy," - Kommersant


"Russia holds the world's largest gas reserves (47.8 billion cubic meters), followed by Iran (26.7 billion cubic meters) and Qatar (23.7 billion cubic meters)." -Asia Times Online

"Russia controls no less than 21.6% of the world's natural-gas production, well ahead of Algeria (3.2%), Iran (3.1%), Indonesia (2.8%) and Malaysia (2.2%). Russia above all wants to become a huge global exporter: for the moment it exports only a third of its production. Iran, incredible as it might seem, imports more from Turkmenistan than it exports to Turkey - because of investment problems. Like Russia, Iran's aim is to become a major global exporter." - Asia Times Online

"In May 2006, Gazprom deputy chairman Aleksandr Medvedev had thrown a news bomb, saying that if Russia didn't get a good energy deal with the European Union it would create "an alliance of gas suppliers more influential than OPEC"." - Asia Times Online

"Russia wants to concentrate on Europe. But the Europeans would do anything to diversify their sources, so Iran, in the end, will also be the winner." - Asia Times Online

"It would all depend on a peaceful solution to the Iranian nuclear dossier - which is in the interests of the gas-hungry European Union. Diplomats in Brussels never stop swearing that the EU's ultimate fear is to become a hostage to Russia's energy policy. The alternative supplier is definitely Iran." - Asia Times Online

"Until Russia completes the North European Gas Pipeline, which will pump gas directly to Germany, and establishes its own liquefied natural gas facilities, it will remain dependent on transit countries for gas exports. At the same time, it is a transit country for Central Asian gas going to Europe. Given such circumstances, it is difficult to discuss a coordinated pricing policy following the OPEC model." - RIA Novosti

Iran's proven natural gas reserves total over 28 trillion cubic meters. In 2006, gas production in the republic was 105 billion cu m, with consumption standing at 105.1 billion cu m. - RIA Novosti

Gazprom plans to join the Green Stream project (50% owned by Italy's Eni), which is to link Africa and Europe (from Libya to Sicily), and is considering the option of a gas pipeline to run in parallel. - RIA Novosti

Mikhail Korchemkin, director of East European Gas Analysis, said that Gazprom's segment of global gas output would fall from 19% in 2007 to 13% in 2030. "Gazprom can keep its influence on world markets only by selling gas produced in other countries," he said. "Libya is therefore interesting to it not only as a tappable resource, but perhaps also as a transit country for the Trans-Saharan gas pipeline from Nigeria, which has more proven reserves than Turkmenistan." - RIA Novosti

Analysts say that the agreements Gazprom reached in Libya could set the European community seriously agog, worried as it is by Gazprom's growing international stance. "Gazprom's participation in the Libyan gas projects will enable it to enter south European markets, where its holding is as yet weak," - RIA Novosti

"Gazprom and Algeria's Sonatrach signed a memorandum of understanding calling for coordinated gas prices." -Asia Times Online

By 2008, Qatar will be the world's premier supplier of liquefied natural gas (LNG). - Asia Times Online


SEE ALSO: Iran again in the Spotlight

http://putinfreakshow.blogspot.com/2...spotlight.html

From Wikipedia:

Quote:

"Since the establishment of the GECF in 2001, there has always been speculation, particularly in Europe, that the world's largest producers of natural gas, in particular Russia and Iran, intend to create a gas cartel equivalent to OPEC which would set quotas and prices.

The idea of a gas OPEC was first floated by Russian President Vladimir Putin and backed by Kazakh President Nursultan Nazarbaev in 2002. In May 2006 Gazprom deputy chairman Alexander Medvedev threatened that Russia would create "an alliance of gas suppliers that will be more influential than OPEC" if Russia did not get its way in energy negotiations with Europe."

http://en.wikipedia.org/wiki/Gas_Exp...rum#Membership