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Russia, Algeria said to seek gas cartel

Posted by Matt in January 25th, 2007

BERLIN, Jan. 25 (UPI) — Russia is trying to build a gas cartel in Europe by linking up with Algeria, a top EU official said.

EU Energy Commissioner Andris Piebalgs of Latvia said if Russia and Algeria agreed to cooperate in the production and distribution of gas to Europe, “they could create a kind of cartel,” The International Herald Tribune reported.

A cartel is a group of formally independent producers whose goal is to increase collective profits through price fixing, limiting supply or other restrictive practices.

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