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...late Wednesday afternoon, Citgo and Kennedy announced a reversal. Kennedy thanked Chávez for his "genuine concern for the most vulnerable," adding a bit of political choreography for the Venezuelan's benefit: "This decision is a clear, direct message from President Chávez of his desire to strengthen relations between his country and the U.S.," he said, "particularly at this time, when a new U.S. Administration is scheduled to be sworn in within the next few weeks...

Author: /time Magazine | Title: Why Can't Big Oil Match Hugo Chávez? | 1/7/2009 | See Source »

...Wednesday marked the second straight day that many European nations received but a trickle of Russian gas pumped via Ukrainian pipelines. Ukraine is pivotal to Europe's gas supply; about 80% of Russian gas normally flows through Ukraine, and Russia provides 25% of Europe's gas. The latest cuts are the result of a dispute between Russia and Ukraine over the price Ukraine should pay for gas. Russian energy monopoly Gazprom says the per-unit price of $179 that Ukraine pays is a subsidized relic from the Cold War-era and that it is no longer offset by Ukrainian pumping...

Author: /time Magazine | Title: Russia's Gazprom Diplomacy: Turning Off Europe's Heat | 1/7/2009 | See Source »

...Moscow began turning off the gas to Ukraine's pipes on Jan. 1, and by Tuesday it had reduced the supply to one-fifth its normal flow. On Wednesday, it cut the supply entirely. By then, Austria, Hungary, Serbia, Greece, Croatia and Bosnia all reported a virtual shutoff in gas deliveries, and a resulting shortage in homes and businesses. So did Bulgaria, where the chill of the Russian gas cut was so swift - and where reserves are so low - that officials said they would consider restarting an unused nuclear power plant to compensate...

Author: /time Magazine | Title: Russia's Gazprom Diplomacy: Turning Off Europe's Heat | 1/7/2009 | See Source »

...first time since Israel began its bloody offensive on Gaza 12 days ago, the first frail signs appeared on Wednesday that an end to fighting that has left nearly 700 Palestinians dead may be near. Although details remain hazy about the Franco-Egyptian peace proposal that's serving as the basis of a possible truce, the initiative appears to have helped inspire Wednesday's minor miracle of a three-hour cease-fire in Gaza to allow aid workers access to what is being described as a humanitarian calamity there...

Author: /time Magazine | Title: Stirrings of a Peace Deal on Gaza? | 1/7/2009 | See Source »

...hasn't officially accepted the Sarkozy-Mubarak plan, its response to the proposal contrasts with its earlier vows to fight on. "Israel welcomes the initiative of the French President and the Egyptian President to bring about a sustainable quiet in the south," said Israeli government spokesman Mark Regev on Wednesday afternoon. "In principle, we have fundamental agreement. Our commitment is to make that framework, and make it succeed...

Author: /time Magazine | Title: Stirrings of a Peace Deal on Gaza? | 1/7/2009 | See Source »

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