Changes in the Business Activities of Energy Corporations Influenced by Political Conflicts, on the Example of the Turkish Stream with Participation of Gazprom

This paper analyzes the changes in business activities of Russian energy corporation “Gazprom” influenced by political conflict between Russia and Turkey and implementation pipeline project “Turkish Stream”. The first chapter of the paper specifies the theory about international sanctions and their influence on business; features of worldwide energy business and transformation in energy companies under political conflict by the example of Iran. In the second part describe the case of Gazprom Company and impact of Russian-Turkish conflict, development of “Turkish Stream” and challenges with which face Gazprom. Improvement of Russian-Turkish relations contributed to the resumption of the pipeline project “Turkish Stream”. The main consequences of political conflict between Russia and Turkey and frozen of realization pipeline project are decrease sales proceeds gas to foreign consumers and increase market share in European market because of Gazprom diversify sales to Europe. Nowadays «Turkish Stream» has been resumed, an intergovernmental agreement has been signed and the construction of the offshore section of the Turkish Stream gas pipeline has already started. By 2019, two branches of the gas pipeline are planned to be built.