MOSCOW/SINGAPORE: Russian President Vladimir Putin said Wednesday it was "impossible" to isolate Moscow and vowed to cut gas and oil deliveries to countries imposing a price cap on supplies.
Speaking Wednesday at an economic forum, over six months after Moscow sent troops into Ukraine, the Russian leader sought to pivot towards allies in Asia, the Middle East and Africa as his country faces a barrage of Western sanctions.
"No matter how much someone would like to isolate Russia, it is impossible to do this," Putin told the Eastern Economic Forum in Russia´s Pacific port city of Vladivostok.
He said the coronavirus pandemic has been replaced by other global challenges "threatening the whole world", including "sanctions fever in the West".
Putin has repeatedly said that Russia´s economy is weathering the barrage of sanctions well, as the Kremlin´s ties with the West sink to new lows.
On Wednesday, he vowed to cut off any countries imposing price caps on oil and gas exports, just as the EU proposed to do just that.
Capping prices "would be an absolutely stupid decision", Putin said.
"We will not supply anything at all if it is contrary to our interests, in this case economic (interests)," he said. "No gas, no oil, no coal, no fuel oil, nothing."
Europe, which is heavily dependent on Russian supplies, has accused Moscow of using energy as a weapon and on Wednesday, EU chief Ursula von der Leyen proposed that member states agree a price cap.
G7 industrialised powers on Friday vowed to move urgently towards implementing a price cap on Russian oil imports, in a bid to cut off a major source of funding for Moscow´s military action in Ukraine.
"Those who are trying to impose something on us are in no position today to dictate their will," Putin said. "They should come to their senses."
Von der Leyen´s remarks come days after Russia closed the key Nord Stream pipeline to Europe, saying it would be under repair for an indefinite period of time.
"They say that Russia uses energy as a weapon. More nonsense! What weapon do we use? We supply as much as required according to requests" from importers, Putin told the economic forum. "Give us a turbine, we will turn Nord Stream on tomorrow."
The Kremlin insists sanctions have prevented the proper maintenance of Russian gas infrastructure and, in particular, blocked the return of a Siemens turbine that had been undergoing repairs in Canada.
Meanwhile, Russian state energy giants Gazprom and China National Petroleum Corporation (CNPC) signed several agreements, including on the use Russian roubles and Chinese yuan to pay for Russian natural gas supplies to China, Gazprom said.
The agreements were in addition to a February deal between them to increase gas supplies from 2023 via the eastern route of a China-Russia pipeline, bolstering an energy alliance at a time of strained ties between Russia and the West over Ukraine and other issues.
Gazprom CEO Alexei Miller said in a statement posted on its website that allowing for payments in Russian roubles and Chinese yuan was "mutually beneficial" for Gazprom and China's state-owned CNPC.
President Putin said China would pay Gazprom for its gas based on a 50-50 split between the rouble and yuan.
Gazprom, which has a monopoly on Russian gas exports by pipeline, said the linear part of the gas pipeline from the Kovyktinskoye field in the Irkutsk region to the Chayandinskoye field in Yakutia was nearly completed. Gas from the Kovykta field was expected to flow to Power of Siberia before the end of 2022, the company said. "The fulfilment of Gazprom's contractual obligations to increase the volume of gas supplies to China in 2023 will be ensured," the company said.
In February, China and Russia has signed a 30-year contract for the supply of 10 bcm of gas a year.
Gazprom said the main technical parameters of deliveries had been fixed and it had started designing the gas pipeline.
Russia already sends gas to China via its Power of Siberia pipeline, which began pumping supplies in 2019, and by shipping liquefied natural gas (LNG). It exported 16.5 billion cubic metres (bcm) of gas to China in 2021.
Under plans previously drawn up, Russia will increase the annual gas transmission via the pipeline to China to 38 bcm by 2025 from 5 bcm in the first year.
CNPC, the parent of PetroChina, said it had signed an agreement with Gazprom related to the Power of Siberia gas pipeline, but did not provide further details.
China's foreign and commerce ministries were not immediately available for comment.
Gazprom and CNPC executives met via a video conference held during the Eastern Economic Forum 2022.
