Press review: Russia to mass-produce Oreshnik missiles and EU gas prices reach record high

MOSCOW, November 25. /TASS/. Russia to launch mass production of Oreshnik missile systems, the outcomes of the COP29 UN Climate Conference, and the surge in gas prices across Europe. These stories topped the headlines in Monday’s newspapers across Russia.
 
Russia will commence the mass production of the latest Oreshnik hypersonic intermediate-range ballistic missile systems, Russian President Vladimir Putin announced at a meeting with the leadership of the Defense Ministry, representatives from the military-industrial complex, and developers of missile systems. He also revealed that several such systems are currently being tested, indicating that Russia is developing an entire line of intermediate and short-range missiles. The head of state emphasized that Moscow is ready to react to any emerging developments.
He reiterated that Western-made long-range missiles targeted military facilities in Russia’s Kursk and Bryansk regions. In response, on November 21, the Russian air force delivered a combined strike on one of the facilities of Ukraine’s military-industrial complex, testing the Oreshnik hypersonic intermediate-range ballistic missile with a non-nuclear payload. The trials were successful in hitting the target, the Yuzhmash plant, which is one of the largest arms-producing facilities in Ukraine.
Russian Strategic Missile Forces Commander Colonel General Sergey Karakayev said that the Oreshnik can strike targets across Europe. “Developing the Oreshnik missile system enhances the capabilities of the Russian Strategic Missile Forces in terms of striking various targets in accordance with the set goal, both with a non-nuclear and a nuclear payload.”
Vasily Tonkoshkurov, first deputy chairman of the military-industrial commission, said that Russia is capable of launching the mass production of the Oreshnik missile system immediately. According to him, the research and production base of military-industrial enterprises supports this capability. He also noted that a large-scale investment program to increase military-industrial production volumes is being implemented. “The current rates of production and arms supplies enable us to achieve the equipping level with modern arms and military and special hardware of more than 95% in terms of strategic nuclear forces and over 82% for the Aerospace Forces,” Tonkoshkurov said.
 
The 2024 United Nations Climate Change Conference (COP29) in Baku concluded a day later than scheduled due to disagreements over the amount of aid to poor countries for fighting climate change, which now triples the previous amount. However, the parties managed to agree on even Article 6 of the Paris Agreement, a topic that has been on the agenda for years. The expectations of the summit’s participants were somewhat clouded by Donald Trump’s victory in the US election, as the US left the Paris Agreement during his presidency.
The leading actors of the climate agenda – the US, China, the EU, Saudi Arabia, Brazil, and others – are grappling with the question of which countries should provide financing for climate issues and how much. About 200 countries approved a deal to earmark at least $300 billion annually for poor countries to fight climate change (previously, this amount was $100 billion per year).
Nevertheless, despite the tripled amount, achieving this goal may be difficult, according to analyst Yelizaveta Smolovik from the Higher School of Economics (HSE University), who spoke to Izvestia.
“The previous amount of $100 billion per year, established for 2020, was only reached in 2022 and under more favorable economic conditions. Additionally, geopolitical tensions, including the potential departure of the US from the Paris Agreement, make achieving climate goals more uncertain,” the expert said.
Furthermore, Trump’s victory in the US election casts a shadow over the current talks of the US delegation at COP29 and the US’ future participation in any climate financing deals for the next four or five years, said analyst Tigran Meloyan from the HSE Mediterranean Studies Center.
Trump argued that the Paris Agreement redistributes American wealth to other countries. When Joe Biden came to power, Washington officially re-entered the agreement. It is possible that Trump’s return to the Oval Office will signal another departure from the Paris Agreement by the US.
“There is already talk about this, both in the media and in expert circles, and within Trump’s team. He may be guided by the same logic that US activity on climate change weakens national strategic strength and benefits geopolitical rivals, such as Russia, Iran, Venezuela, and China – three of which have large oil reserves. According to Trump, oil is ‘liquid gold,’ and it must work to increase America’s prosperity. So, in addition to everything else, the world should expect increased oil production in the US, surpassing current record levels,” Meloyan added.
 
Gas prices in Europe have reached record highs this year, surpassing $540 per 1,000 cubic meters. After peaking, quotations dropped to $512, but the fact remains that since the beginning of the week, they have stayed above $500 per 1,000 cubic meters and are not expected to go any lower.
This surge in prices is driven by concerns over Russian gas deliveries due to another round of US sanctions. This time, the sanctions were imposed on Gazprombank, which handles all payments for Russia’s pipeline gas. This arrangement has been in place since April 1, 2022, following the Russian president’s decree requiring gas payments in rubles from unfriendly countries. Previously, the US had exempted payments for energy products to Gazprombank from its sanctions list several times, but it now appears to have decided to use this as a pressure tactic. Gazprom, Russia’s only exporter of pipeline gas, will automatically cut supplies in the event of non-payment in rubles, as occurred with Bulgaria in 2022.
Alexander Frolov, Deputy Director General of the Institute of National Energy and expert at the InfoTEK analytical center, believes that trade in Russian gas will continue. He reminded that licenses for operations with Russian banks regarding energy products remain in place. Buyers of Russian gas will likely contact the US Treasury to seek clarification on the situation. However, Frolov warns that the situation is concerning for European market players.
 
Russia relies on Armenia’s involvement in joint efforts to develop an equitable and indivisible security system in Eurasia, Russian Ambassador to Yerevan Sergey Kopyrkin told Izvestia. According to him, there are no real alternatives to Russian-Armenian cooperation, including within the framework of the Collective Security Treaty Organization (CSTO). That said, Moscow is committed to achieving stable peace between Armenia and Azerbaijan as soon as possible.
According to the diplomat, Russia hopes for “active participation of Armenian partners in joint efforts to develop an equitable and indivisible security system on the Eurasian continent, an idea proposed by Russian President Vladimir Putin on June 14 at a meeting with the leadership of the Russian Foreign Ministry and reaffirmed during the recent BRICS Summit in Kazan.”
Russia is interested in the quick establishment of stable peace between Armenia and Azerbaijan, Kopyrkin said.
“Naturally, Moscow is interested in a stable peace between Armenia and Azerbaijan as soon as possible. It is also important that this document, crucial for the region, be based on the fair settlement of all mutual concerns, without any ‘bitter aftertaste’ for any side,” the envoy said.
“We realize that achieving mutually acceptable compromises between Yerevan and Baku is a complex process that will take time, given the events since the breakup of the USSR. Russia is steadfast in offering assistance to our Armenian and Azerbaijani partners in settling bilateral relations, in the spirit and letter of the 2020-2022 trilateral agreements between the leaders of Russia, Armenia, and Azerbaijan. The format and volume of such assistance will be determined by the negotiating parties themselves. For this reason, we are pleased that at the BRICS Summit in Kazan on October 24, productive interaction took place between Armenia and Azerbaijan at the highest level, which provided a useful impetus for dialogue on normalizing relations,” the diplomat explained.
 
Market players report increased demand for crypto mining equipment amid the rapid surge in bitcoin prices. Sales volumes in November doubled or tripled compared to previous months. Crypto mining remains a lucrative business in Russia, but it carries risks, particularly from a legal standpoint.
Growing cryptocurrency prices have also been accompanied by rising demand for mining equipment, experts confirm. As soon as a “bull trend” was established in the market, industrial and private miners became more active, Mike Lvov, director of PR and communications at EMCD, explained. OXLY brand manager Danatar Atadzhanov noted that demand for equipment in a “bull” phase typically creates a deficit, which in turn leads to higher prices. Mining Group pointed out that in recent months, prices have increased by 10-15%.
However, crypto miners may encounter obstacles such as mining bans in certain regions, changes in tax laws, or difficulties in legally exchanging and recording mined cryptocurrency, Atadzhanov added.
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