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Ukrainians Preparing for Possible Invasion by Russia; North Korea Tests Powerful Missile Since 2017; New Version of Omicron Now in at Least 49 Countries; Spotify Takes New Steps to Battle COVID Misinformation; Australia Commits $35 Million to Boost Protections; Nadal Makes Tennis History with 21st Grand Slam Title. Aired 1-2a ET

Aired January 31, 2022 - 01:00   ET

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.

(COMMERCIAL BREAK)

[01:00:22]

MICHAEL HOLMES, CNN ANCHOR: Hello, and welcome to our viewers here in the United States and all around the world. I'm Michael Holmes, I appreciate your company.

Coming up here on CNN Newsroom, with Russia positioning troops near the Ukrainian border, the crisis will take center stage at the U.N., as the Security Council addresses fears of a military conflict.

In Ukraine, the government is quietly preparing for a possible invasion, clearing out Soviet era bunkers under the metro system to protect millions of its citizens. And just days away from the Beijing Winter Games, dozens of new COVID cases linked to Olympic officials. We'll have the latest in a live report.

ANNOUNCER: Live from CNN Center, this is CNN Newsroom with Michael Holmes.

HOLMES: First, this hour a new push for diplomacy as tensions between Russia and Ukraine remain high. The United Nations Security Council will convene in the hours ahead with the U.S. Ambassador saying this meeting will offer Russia another opportunity to find a diplomatic way out of the crisis.

Now, this coming is more than 100,000 Russian troops remain mass near Ukraine, intensifying fears of a possible invasion. The British foreign secretary had this stock assessment.

(BEGIN VIDEO CLIP)

LIZ TRUSS, BRITISH FOREIGN SECRETARY: We think, it's highly likely that he is looking to invade Ukraine. That is why we're doing all we can through deterrence and diplomacy to urge him to desist.

(END VIDEO CLIP)

HOLMES: Now, the U.S. has said Moscow is showing no sign of de- escalation with the Pentagon Press Secretary warning Russian President Vladimir Putin could act at any time.

(BEGIN VIDEO CLIP)

JOHN KIRBY, PENTAGON PRESS SECRETARY: He has a lot of options. He, Putin has a lot of options available to him. If he wants to further invade Ukraine and he can execute some of those options imminently. Imminent means it could happen really honestly at any time. Now, when I say it, it depends on what Vladimir Putin might want to do.

(END VIDEO CLIP)

HOLMES: Ukraine's Foreign Minister says diplomacy is the only responsible way forward as tensions remain high along Ukraine's borders. CNN's Nic Robertson with more from Moscow.

(BEGIN VIDEOTAPE)

NIC ROBERTSON, CNN INTERNATIONAL DIPLOMATIC EDITOR: Well, as everyone waits for President Putin to make clear, his next move, Ukraine's foreign minister has said that if Russia is serious about not having a war with Ukraine, then they should pull their troops back leaving the path for diplomacy open. Sergey Ryabkov, the Russian Foreign Minister speaking to Russian journalists said that he was on a diplomatic track of sorts. He was going to be sending an urgent demand to NATO and the OSC to clarify their position on something.

SERGEY RYABKOV, RUSSIAN DEPUTY FOREIGN MINISTER (through translation): Today, through the Ministry of Foreign Affairs, we're sending an official request to our colleagues in the countries of the alliance, and the OSC with an urgent demand to explain how they intend to fulfill the obligation not to strengthen their security at the expense of the security of others. If not, then explain why. This will be a key issue in determining our further proposals.

ROBERTSON: So, a small diplomatic window open there, and at the U.N. Security Council Monday, further diplomacy, the United States, calling for a meeting of the Security Council to find out why Russia still has a buildup of troops around Ukraine, Russia's position until now has been, it's got them there for training, it's on sovereign territory, they have a right to do it. This will put Russia under further scrutiny that the U.N., Nic Robertson, CNN, Moscow.

(END VIDEOTAPE)

HOLMES: Now, with the threat of a possible invasion looming even Ukrainians outside the military are preparing to fight. CNN's Sam Kiley with more from Kyiv.

(BEGIN VIDEOTAPE)

SAM KILEY, CNN SENIOR INTERNATIONAL CORRESPONDENT: An abandoned asphalt factory near Kyiv, is now a training ground for civilians who volunteered to fight off a possible Russian invasion. They're outnumbered here by journalists and armed at best with pellet guns. They know they'll be out massed by Moscow's military machine. But they aren't keen. SERGIY CHURNIK, CLINICAL RESEARCHER AND VOLUNTEER: Become crucial moment for our country. We have really big risk that Russian invasion might occur pretty soon. So that's why even civilians have to be ready.

KILEY: These men believe that it's their country's democracy, that Vladimir Putin fears more than a threat posed by European Union, NATO membership.

[01:05:02]

MIKHAILO GERALDO RAMIREZ, LAWYER AND VOLUNTEER: In the Putin Russia all Russian citizens are completely slaves. He feels this a threat because Ukrainians gave to Russians and fellow Russians bad example. We show to our neighbors how each citizen of freewill must defend his social and national rights.

KILEY: You wouldn't know that Ukraine's government says that Russia has at least 127,000 troops massed on three sides of the country here in the capital, where there are no signs of impending war. And in the poorer districts where people hoard whatever they can to get by, the mood is similar.

SVIETA, STYLIST (through translation): People are relaxed. Although for some I would say not. It depends on the circles you communicate in. If someone in your family is from military or the police, it's a completely different mood.

KILEY: But aged air raid shelters are being opened just in case.

(On camera): The Ukrainian government is appealing to its population for calm but at the same time dusting off the Soviet era bunkers because there is a threat to a young country's democracy.

The shelter can house about 300 people. It even has a hand cranked air filtration system. Kyiv has the capacity to shelter 2.8 million of the estimated 3 million residents in 5000 bunkers and in the metro system. It's an irony lost on no one here that this shelter was built in 1956 to protect against NATO striking Russia and the Soviet Union. Now, it's offering shelter against a possible attack by Russia. Sam Kiley, CNN, Kyiv.

(END VIDEOTAPE)

HOLMES: North Korea test five its most powerful ballistic missile in yours on Sunday, the seventh missile test this month alone, its role raising anxieties in South Korea and Washington. The Biden administration says it would like to return to diplomatic talks with Pyongyang, but they're still waiting for an official response. One senior Biden official says North Korea could be using the test to force the U.S. into a weaker negotiating position.

For more on this, let's bring in Ivan Watson in Hong Kong. What more are you learning about the missile and what North Korea says it wants?

IVAN WATSON, CNN SENIOR INTERNATIONAL CORRESPONDENT: Well, the missile was launched Sunday morning. It flew an altitude of about 2000 kilometers and a distance of about 800 kilometers landing to the sea east of the Korean Peninsula. And it's the seventh missile tests that North Korea has embarked on in the month of January just a binge of missile launches. And as you mentioned, this is an inter immediate range ballistic missile, the first time that North Korea has fired this class of missile since 2017.

And I think a lot of the analysts are saying, hey, it looks like we're headed back towards the dark days of 2017 when there was confrontation going on the Korean peninsula, and Pyongyang was showing that he was not happy with the U.S. and its allies by conducting these missile launches which the U.S. and their allies say are banned according to United Nation's Security Council resolutions.

Monday morning, the South Korean Defense Minister made a show of visiting the military's Missile Defense Agency and units and urging the military to be on alert to be prepared for this. The South Korean President Moon Jae-in who staked so much of his presidency his waning presidency on trying to reach out to North Korea on face-to-face meetings with Kim Jong-un. He staged to zone emergency meeting on Sunday after the missile launch of his National Security Council and warned that it does look like North Korea could be heading towards ending it's more a Tarek moratorium on intercontinental ballistic missile launches and on nuclear tests, which would of course ratchet up tensions even more on the Korean peninsula. As you mentioned, Michael, a U.S. White House administration official has spoken to CNN and pointed out that the Biden administration has been trying to reach out to the North Korean regime sending messages but not receiving responses. Unlike the previous Trump administration, it appears that the Biden administration does not want to engage in face-to-face diplomacy between Kim Jong-un and President Biden but would be open as we're hearing to lower-level talks. And judging by the lack of response coming from Pyongyang it seems that the North Korean government wants to get some kind of face-to-face meeting, the likes of which we saw several times between then President Trump and the North Korean leader Kim Jong-un, Michael.

[01:10:18]

HOLMES: All right, Ivan, thanks so much. Ivan Watson there in Hong Kong for us.

Turning our attention now to the Middle East, where the United Arab Emirates says it destroyed a Houthi ballistic missile launch site in Yemen. The UAE released this video, which they claim shows the damage. They say the launch site was destroyed after their forces intercepted and destroyed another ballistic missile targeting the UAE. This comes after a series of attacks initiated by the Iran backed Houthi against the UAE this month.

We're going to take a short break. When we come back this hour will tell you more about the Omicron variants latest variant as it spreads to dozens of countries. Also, how the Winter Games could be impacted as COVID infections rise among Olympic athletes and officials will be live in Beijing when we come back.

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[01:15:08]

HOLMES: We are now learning more about the newest Coronavirus mutation. It's a version of Omicron called BA.2 and was first identified in early December. It's already infected people in at least 49 countries, including the U.S. Early data suggest people who have previously tested positive for the Omicron variant should likely be protected against the new version. Here is what the former commissioner of the FDA has to say.

(BEGIN VIDEO CLIP)

DR. SCOTT GOTTLIEB, FORMER U.S. FDA COMMISSIONER: It appears to be more contagious data out of Denmark from the surveys to suggests it's about 1.5 times more contagious than the strain of Omicron that has made it around the U.S.

UNIDENTIFIED FEMALE: Which is already so transmissible?

GOTTLIEB: Exactly. Does it evade our immune system? Does it evade the immunity that we've acquired from Omicron infection or the vaccines? Most of the evidence so far, it's preliminary suggests it doesn't infect this data out of the U.K. that suggests that a fully boosted person may be more protected against this new variant than they were against the original strain of Omicron. And in the final question is, is it more virulent? Is it more dangerous, and so far, based on what we've seen that Denmark and the U.K. which are collecting very good data on this it doesn't appear to be a more virulent strain.

(END VIDEO CLIP)

HOLMES: Now, a new study from the U.K. has found similar results. Officials in England say they found transmission is likely to be higher with a BA.2 infection. Although vaccines appear to be just as effective against symptomatic illness. The new research comes as COVID infections are surging around the world, Russia registering more than 121,000 new cases on Sunday. That's a record, have a look at this chart, which shows a massive spike in the seven-day average of new cases.

Over the weekend, Russia surpassed more than 100,000 daily infections for the first time. And 1000s turned out in the Czech Republic to protest against COVID restrictions as cases there hover around record levels.

All eyes on China this week, of course, as the country gears up for two big events in the midst of the pandemic, the Lunar New Year and the travel that brings and of course, the Winter Olympics. With just four days to go before the opening ceremony in Beijing, the chair of the Olympic Committee's Athletes Commission has tested positive for COVID-19. This of course, as China reports 37 more infections among Olympic personnel.

Steven Jiang joins me now from Beijing with more. You know, it's meant to be a bubble, a closed loop. Is it being threatened or in a way was this expected? They were never going to keep it COVID free completely, where they?

STEVEN JIANG, CNN SENIOR PRODUCER: That's right, Michael. You know, this is the assumption most people have had for quite some time. And now even Chinese officials have acknowledged publicly of this inevitable reality. But of course, they've been stressing that the number of positive cases accounts for a tiny percentage of the total number of games participants inside this closed loop and they are determined to keep it that way, they are portraying this and actually, as a testament to how well and effective their system has been working with state media also saying so far, there appears to be no community spread of the virus within the Olympics bubbles.

Now, of course, this is going to be an increasingly daunting task for them as time goes on. And with more events kicking off especially given how contagious the Omicron Variant is.

Now, most of our CNN colleagues covering these games from within the bubbles have now arrived here and one of their first impressions that stuck with some of them telling me was the high wall or fences around their hotel. And this in a way is really a metaphor of this sense of disconnect. A lot of ordinary Chinese citizen seem to feel about the Winter Olympics this time around because not only there's not a single ticket available for sale to the general public because of the pandemic, a lot of them have also seen their travel plans ruined or disrupted because of the increasingly tighten travel restrictions, especially in and out of Beijing.

As you mentioned, this is the Lunar New Year period, the most important Chinese holiday on a calendar but a lot of people actually now were stuck instead of going home to see their loved ones. You know, for those of us who have covered the Summer Games here in 2008, the contrast really seems quite stark, you know, back then there is the sense of anticipation, excitement and embracing the outside world, palpable in the year not only throughout Beijing, but across China. But this time if you talk to people on the ground or reading social media feeds, this is more of a, there was more of a sense of annoyance. Frustration is sometimes even outright hostility towards the West, especially the U.S. because of all the rising geopolitical tensions, including the U.S. led diplomatic boycott against those games because of China's human rights record, Michael.

HOLMES: Yeah, I can really imagine it, must be a big different feeling there from 2008, I can only imagine. Steven, I appreciate it. You're not going to any events, Steven Jiang there in Beijing.

[01:20:05]

Spotify says it will now add a content advisory to all podcasts that mentioned COVID-19. That move coming after several artists said they will leave the platform as it continues to host Joe Rogan, who was spread misleading to say the least claims about the virus. CNN's Natasha Chen reports.

(BEGIN VIDEOTAPE)

NATASHA CHEN, CNN NATIONAL CORRESPONDENT: Spotify CEO Daniel Ek wrote a public letter on the platform's website on Sunday explaining Spotify's rules and how he says they'll do more to combat COVID-19 misinformation. Ek says, "It is important to me that we don't take on the position of being content censor, while also making sure that there are rules in place and consequences for those who violate them." He says Spotify is working to add a content advisory to any podcast episode that includes discussion about COVID-19. It will direct listeners to a COVID-19 hub that provides data driven facts and up to date information from trusted sources in the public health community.

In an effort to be more transparent, Spotify also published its long- standing platform rules. The part of the rules addressing false or deceptive medical information, says content cannot cause offline harm or pose a direct threat to public health. Some examples Spotify gave include saying that COVID-19 is a hoax or suggesting that vaccines are designed to kill people.

Notably the controversial podcast by Joe Rogan that has spread misinformation is still available exclusively on the streaming platform. His podcast is the one cited by 250 doctors, nurses and scientists and an open letter to Spotify earlier this month, calling for a stronger enforceable policy on misinformation.

Then, within the last week, Neil Young, Joni Mitchell, Nils Lofgren all said they would remove their music from Spotify. Brene Brown said she would pause on releasing new episodes of her podcast. And Prince Harry and Meghan, Duchess of Sussex who have a deal with Spotify to produce and host podcasts released a statement through their foundation spokesperson that said they urged Spotify to meet the moment and had been talking to Spotify about this issue as early as April of last year. Spotify shares are down 7.7% over the past week. Back to you.

(END VIDEOTAPE)

HOLMES: Now, this weekend's powerful winter storm on the U.S. East Coast is left behind bone chilling temperatures and record snowfall in some areas. Many had lost power due to strong winds from the bomb cyclone. In Massachusetts, the state's largest power supply says it has restored service to about 250,000 customers since the storm began. Now, just a few 100 is still in the dark. Officials expect they will have power by the end of today.

Meteorologist Pedrpedram Javaheri joins me now. It's extraordinary when we talk last hour, right, I couldn't -- and it's actually right there behind you now, Central Park almost doubled the record set in 1904. There's a lot of snow out there.

PEDRAM JAVAHERI, CNN METEOROLOGIST: It was an incredible snowstorm, and it came down very quickly. Michael, incredible runaway wintry weather in just about a 12-hour period across portions of the Northeast. And, you know, when 5000 flights are halted as a result of it, you know, it's a serious situation Kennedy airport 10 times its previous daily snow record, they're coming in with 11 inches of snowfall in again a matter of just a few hours across some of these areas. But the satellite perspective shows the snow on the ground, shows the incredible amount of coverage of snow across this region of the northeastern United States. And as Michael noted, conditions are going to begin to improve, you're going to quiet down a little bit, get a bit of a break.

But how about this, state maximums of 30 plus inches coming down in Massachusetts. In Boston, almost two feet came down on Saturday. The most snow we've seen from a single storm going back to about two decades in portions of town and in Norwalk, Connecticut, about 22 inches observed as well.

And, of course, all of this was accompanied with a times hurricane force winds. So put this together, you see why he was so disruptive across that region of the Northeast. But again, a brief break here in the action. But notice what's happening across portions of Florida, freeze alerts widespread into portions of even South-Central Florida, where temperature is cold as the freezing mark.

Now, the National Weather Service often know it when you get these values of say, the upper 30s, the lower 30s and a few spots into the early morning hours. There should be -- people should be on alert for falling iguanas, of course, iguanas go dormant when temperatures see drop down to about the freezing mark here and they can tumble out of trees, so officials say just stay away from them, give them a few hours. They'll come back to life. They're just paralyzed because of the extreme cold temperatures but again, impressive run of cool air, even into portions of Florida.

But want to show you what's happening over the next couple of days, because some changes in store here with another system ahead of us, push again across the central United States and it's not just a blizzard or a blockbuster snowstorm but see the pink color there, that's the most disruptive weather element when it comes to wintry weather and that's ice secretions, and it could extend from portions of Dallas into areas of state and Midwest. If that plays out here, can be a big-time storm system with a lot of people set to be impacted.

[01:25:04]

Look at the ice accretion forecast here, some areas could get as high as an inch of ice, of course, with that much weight on trees and branches and powerlines. Outages are going to be widespread as well. So, this is a story we'll follow as the week progresses, Michael.

HOLMES: Yes, just keeps a map like that, north of Atlanta. Thanks very much Pedram. I appreciate that. I got a quarter inch on my deck mate. I mean, it was serious. Pedram Javaheri there.

Now, amid rising tensions with Ukraine Russian state media stepping up its propaganda pushing, one Western host is getting a lot of airtime. You can probably guess who, we will have the details for you.

Also, why the standoff between Russia and Ukraine could lead to higher energy prices around the world. Stick around, we'll be right back.

(COMMERCIAL BREAK)

HOLMES: The U.N. Security Council will gather for an urgent meeting in the coming hours as tensions along the border between Ukraine and Russia remain high. The meeting, the latest push for a diplomatic solution to the crisis amid fears Russia is planning to invade Ukraine.

The American Ambassador to the U.N. says the U.S. is ready to listen but will not be distracted by what she called Russian propaganda. Ukraine's Foreign Minister also pushing for diplomacy saying, it is the "only responsible way." In a tweet, he says if Russia is serious about not wanting a new war, it must continue with diplomatic talks and pull back its troops.

Now, as tensions along the border ratchet even higher, Russia is already stepping up its propaganda war. CNN's Nic Robertson with a closer look at that.

[01:30:05]

(BEGIN VIDEOTAPE)

ROBERTSON: On Russian state TV, western media are getting ridiculed. Like it or not, they think independent journalists are propagandists for the U.S. government, creating a provocation for war.

VLADIMIR SOLOVYOV, TV HOST CH 1: You have no idea what's happening in our mind. You have no idea about our history. You have no idea what Russia is about. You have no idea what Ukraine is about. About our mutual history. Why we have a problem.

ROBERTSON: Vladimir Solovyov hosts his own show, proudly pushes the Kremlin's views and Fox anchor Tucker Carlson's.

SOLOVYOV: He's a nice guy. He's funny. Has his own point of view. He hates Biden. He likes Trump. So what?

ROBERTSON: No irony that in Russia, unlike America, criticizing the president is off limits and never more so than now. In the past year, independent media here have been almost completely crushed.

EKATERINA KOTRIKADZE, HOST, TV RAIN: It's a feeling of tense. And it's all the time. You can never be -- you can never be sure that tomorrow you will be -- you will be all right. You can never be sure that tomorrow your TV station will still be alive.

ROBERTSON: Ekaterina Kotrikadze is an anchor at TV Rain, one of Russia's last independent stations. It is designated a foreign agent, Kafkaesque Kremlin law that can snuff it out. She's all too familiar with state TV's manipulations. How they use western media and play Carlson against his broadcast colleagues.

KOTRIKADZE: They just like that there is a person who says, are we going to fight Russia because of this corrupted eastern European country that we even cannot find on the map?

So as soon as he says something that is not in the, you know, direction that they need, he's not going to be a friend anymore.

ROBERTSON: In Russia's propaganda war, truth doesn't matter. What counts is stopping a war they are convinced America is fomenting.

TUCKER CARLSON, FOX NEWS HOST: So at this point, NATO exists primarily to torment Vladimir Putin.

ROBERTSON: At home, facing accusations of being a pro-Putin stooge, Carlson has defended some of his pro-Russia comments and said he is not a Russian agent. So will he lose his war-stopping value in Russia?

SOLOVYOV: Come on, sir. This poor guy from Fox News? Well, I like that you think -- Russian spy, colonel of Russian (INAUDIBLE)

This poor guy from fox news? I like that he is a Russian spy of Russian GRU service.

ROBERTSON (on camera): It's not the way any respectable journalist would want to be portrayed. But once inside the Kremlin's spin cycle, there is no knowing how the machine will spit you out.

Nic Robertson, CNN -- Moscow.

(END VIDEOTAPE)

HOLMES: U.S. lawmakers say they are getting closer to a deal on Russian sanctions. But there are mounting concerns that Moscow could hit back by slashing fuel supplies to the west, in particular Europe which is very worrisome for the E.U.

They get about 40 percent of their natural gas from Russia. Also, key pipelines of course, run right through Ukraine. A Russian invasion would threaten the country's energy infrastructure. While Europe would be hardest hit, experts say disruptions would ripple around the world, sending prices higher globally.

Meghan O'Sullivan joins me now from Harvard Kennedy School, where she is a professor of international affairs, and director of the Geopolitics Energy Project. Professor, great to have you on.

Let's start with this. When we look at the dependence of European nations on Russian energy, I want to just pull up a graphic and show people Germany, which has of course, pushed the Nord Stream 2 pipeline. It gets 32 percent of its pipeline gas from Russia, 34 percent of crude oil, 53 percent of hard coal. How reliant is Europe on Russian energy?

MEGHAN O'SULLIVAN, HARVARD KENNEDY SCHOOL: Well, the numbers you used for Germany are, at a very broad scale, indicative of the overall continent. I would say, if we look at natural gas as a whole, the continent or the E.U. is dependent on 40 percent of its natural gas coming from Russia, and about 30 percent on the whole, when we look at it for oil.

But there are some very important distinctions. Oil is much more easily, substitutable. So if Russia were to stop sending oil to Europe that's not a big deal. Oil is easy to transport, you put it in a barrel, you put it on a ship, it can come from anywhere.

[01:34:51]

O'SULLIVAN: It is the natural gas that gives Russia leverage because it's that pipeline -- those pipelines, that infrastructure that can't be easily replicated overnight.

So all of that -- not all but almost all of that gas from Russia is coming by pipeline. And if Russia were to curtail that, that is the real short term or immediate term vulnerability of Europe to Russian energy.

HOLMES: And of course, Russia using its energy supplies as a weapon. It is a weapon that can backfire, because selling that stuff is central to its own economy.

O'SULLIVAN: That's very true. Of course -- and this has been, the mutually assured destruction dynamic that Europeans have really relied on for decades. Up until very recently, most Europeans, especially Germans, and west Europeans would say, Russia has been a reliable supplier.

For decades, it's supplied us these energy sources, and if it were to curtail it, this would have a devastating effect on the Russian economy.

And this has been true, and the question just now becomes one of which, to what extent is Putin willing to make calculations that may not make economic sense, but really make strategic sense from his perspective?

HOLMES: Yes. Yes. You know, something else you have written about, which is fascinating. How important is it for countries like Germany and others to reduce that dependence and the renewables -- solar, wind, wave power. Clearly good for the planet, but the current tensions clearly illustrate that not moving towards them has national security implications.

O'SULLIVAN: It's a very good point Michael. And I would say, to answer your question, how important is it? It's very important in the context of the European priorities, and really, global priorities in the sense of, you know, the world needs to move, to have net zero emissions by 2050. And Europe is the most forward-leaning region of the world.

However, what we're seeing today is that, you know, you can't plan for a few decades out, without keeping at least one eye on the ball of the immediate term. Because, in the short term, and even the medium term, meaning another decade or two, these reliance -- these dependencies on fossil fuel producers are going to remain in the interim.

So really, what has happened here is that much of Europe has really tried to live in a future where it's reality is actually still very much grounded in fossil fuels. And that reality can't be ignored, unless Europe wants to open itself up to these national security problems. Potentially over and over again during this actual transition to net zero. HOLMES: Absolutely. And more broadly, outside of the current tensions,

in a political sense, how much power do major national suppliers, the so-called petrostates, have over their customers?

O'SULLIVAN: Well, I think this really depends on whether we are talking about natural gas or we are talking about oil. And it depends on the state of the market.

I mean if we look at the oil market, as you know, for decades consumers have been concerned about an over-reliance on OPEC. And those are those big oil producing countries that work together in a cartel, that has Saudi Arabia, the UAE, Iraq, Iran and now Russia has been working very closely with this cartel.

Now, if we look at different points over the last decade, sometimes, this group of countries has had enormous power to set prices and at other times, it has had very little power.

And that just depends on how many other producers are in the market. The U.S. has become a huge producer of oil over the last few years. And it also depends on, you know, what the demand is. And the real vulnerability here for the world going forward is that over the next couple of decades, what we don't want to see is supply be reduced before demand is reduced.

And it is this tension that we have to prepare ourselves for, that demand for these energy sources of oil and natural gas may not go down as quickly as supply. And it is in that kind of market, that these traditional, big, largely state-owned companies, will have the most influence.

HOLMES: And even at net zero, there's still going to be a need for oil and gas even in that scenario.

It is a fascinating aspect of all of this. and great analysis. Meghan O'Sullivan, thanks so much.

O'SULLIVAN: Thank you Michael, pleasure to be with you.

HOLMES: The Super Bowl just two weeks away. The teams are now set. Coming up, how the Cincinnati Bengals shocked the world to reach their first NFL title game in more than 30 years. They have never won one either.

[01:39:32]

(COMMERCIAL BREAK)

HOLMES: Australia's government is making a multi-million dollar investment to protect its beloved koalas. The animals face challenges on several fronts including destruction of habitat, bush fires, drought, disease and so on.

But some conservationists warn the infusion of money might not be enough.

(BEGIN VIDEOTAPE)

HOLMES: They are cute, cuddly and could one day be extinct. But the koala, one of Australia's iconic animals, may have just been thrown a lifeline by the Australian government.

The Prime Minister Scott Morrison pledging $35 million in the next four years to protect the species after the number of koalas plummeted in the last few years.

SCOTT MORRISON, AUSTRALIAN PRIME MINISTER We are investing in the world leading science in looking after our koala populations. We are, also investing heavily in education, to ensure not only the public can understand how they can care, but also, importantly veterinarians, right across the country.

HOLMES: One of the biggest threats to koalas, bush fires. In 2019 and 2020, the World Wildlife Fund estimates more than 60,000 koalas were impacted in one of the country's worst fire seasons. That is a dramatic loss, since estimates of their total numbers range from nearly half a million, to fewer than 100,000 in the wild.

During that time, the world watched in horror as unforgettable images emerged from the fires, like this woman using her shirt to try to save a badly burned koala.

All the apocalyptic-looking terrain of Australia's Kangaroo Island, a habitat for koalas and many other animals were little was left unscathed.

Disease is also taking a toll on the species. In some areas, chlamydia has affected half the koala population. Wildlife conservationist, Robert Irwin says the funds are coming at a critical time for koalas.

ROBERT IRWIN, CONSERVATIONIST: They are on the thin edge of the wedge and so any kind of support that we can get is greatly, greatly appreciated. And very, very needed.

Our environment is suffering at the moment. And so any steps that we can make toward a brighter future, to make positive change.

[01:45:00]

HOLMES: Some conservationists say money isn't enough some environmental groups say the government needs to pass stronger laws about deforestation and climate change to protect koalas' habitats from being bulldozed, logged, or burned.

The Australian Koala Foundation says their conservation status should be upgraded from vulnerable to critically endangered. Many agree, the money for now is helpful, but without addressing the larger issues Australia could one day lose what many people say is a national treasure.

(END VIDEOTAPE)

HOLMES: Now, I spoke with Josey Sharrad of the International Fund for Animal Welfare about whether the money will be enough to help the koala population recover.

(BEGIN VIDEO CLIP)

JOSEY SHARRAD, INTERNATIONAL FUND FOR ANIMAL WELFARE: I must say that all the money in the world won't save koalas and that's the address this week (INAUDIBLE). And that habitat loss and climate change. Basically, they stop cutting down their trees and start protecting the places they call home. But anything else is just an expensive band- aid, I'm afraid.

HOLMES: And to that point, as you say, one of the biggest issues with koalas, I mean there is drought and there's been the fires and so on. But it's just loss of habitat from human development. Humans taking for their own use, cutting off corridors that koalas need.

Is there a compromise that would work when it comes to that human aspect?

SHARRAD: I think there is always a solution. I think that humans can coexist with koalas and wildlife. Koalas can survive and thrive alongside humans. They just need trees, safe spaces, and corridors as the place to roam freely, just like we do.

So there is such a thing as koala-friendly development. We just need to consider them in our planning. And really trying to save the trees that they need to survive.

HOLMES: And the other important issue, too climate change. I did want to say -- ask you about this too because it is an important thing.

Koalas face that health challenge we mentioned too in recent years. Tell us about the impact of chlamydia.

SHARRAD: Well, chlamydia is a really serious issue for koalas. It's a painful often fatal disease that lead into population decline. But like with so many diseases, it's linked to stress. I mean there are some research (INAUDIBLE) It's the number one cause of stress in Koalas. So it all really leads to the root cause that is habitat loss.

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HOLMES: Still to come, tennis star Rafael Nadal now the all-time leader in men's Grand Slam titles. How the Spaniard's battle back to win in epic fashion at the Australian Open. We'll be right back.

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HOLMES: Well, we now know who will play in Super Bowl 56, and it's a matchup few would have predicted when the season began. The Cincinnati Bengals will meet the Los Angeles Rams on February 13. The Bengals led star quarterback Joe Burrow won AFC title on Sunday over the heavily- favored Kansas City Chiefs. Cincinnati overcame an 18-point deficit for a 27 to 24 overtime victory. And in the NFC, the Rams beat the San Francisco's 49ers, 20 to 17. They will be hosting the Super Bowl in L.A. the second straight year actually though the team's going to be playing the title game in their home stadium. Tampa Bay did last year.

Now, it was an Australian Open final for the ages as Spanish superstar Rafael Nadal rallied back from two sets down to win the men's singles title. The win put Nadal's name in the record books with his 21st Grand Slam title. The most ever by a men's tennis player.

The 35-year-old beating Russia's Daniel Medvedev in five sets at a sold out Rod Laver Arena.

Joining me now, tennis expert, Ben Rothenberg. And when we spoke yesterday, I think we both felt Nadal was fan favorite, but Medvedev might outlast him. And that was not to be. Tell us about the match.

BEN ROTHENBERG, TENNIS EXPERT: No, we got that almost exactly wrong basically. I thought that people -- many people thought that if Nadal would have a chance to this match, he'd have to get out to a really early, strong start and sort of blitz this match and beat Medvedev quickly and efficiently.

And the opposite happened. Medvedev won the first two sets in this match. The second set was competitive. Medvedev eked it out and then looked like he had a chance just to put it away with a triple break point at 3-2 in the third set.

And than Nadal just rallied. And Medvedev started getting a bit confused, and tactically he was not really playing his normal game and it seems to be getting overly creative at times and just distracted by the crowd and by what's been happening and Nadal really took advantage of that and pounced. And it was a long, physical match that Nadal came out on top of which makes, you know, winning his 21st title, in this sort of physical fashion all the more remarkable at his age.

HOLMES: Yes. Coming back from two sets down in a major, that just hardly ever happens. And Nadal, this is the thing that's interesting. Nadal breaks the record in an era of him, Djokovic, and Federer, all three were on 20 majors until this Australian open.

I mean to do that, at a time of such fierce competition, makes it all the more remarkable, doesn't it. Three of them on 20.

ROTHENBERG: Absolutely. No, he was the only who played this Australian Open. Federer has had persistent knee injuries and Djokovic we know about his whole deportation saga.

But it's still -- as much as he had a bit of daylight on that perspective, this is not -- it kind of -- (INAUDIBLE) a favor to do well in at all. I mean he had just had Covid in December, and that came with a tale of a long, persistent, foot injury. But yes, there used to be guys overlapping as much as they have.

If they were alone in their era, I think easily, anyone wants to be at 25, maybe even 30 at this point, with how much they stop each other. They really had held each other back in a lot of ways.

HOLMES: Absolutely agree. We've got one minute left. I wanted you to touch on Medvedev. Heartfelt news conference. It seems he felt no love and respect from the Melbourne crowds. Real quick.

ROTHENBERG: Yes. No, Medvedev had this very long, opening monologue in his press conference about the child who had stopped dreaming. Saying, basically, his dreams of what it would be like to be a top level tennis player had not meshed up at all because he's gotten a lot of hostility from the crowd.

[01:54:55]

ROTHENBERG: And some of it does seem to be just residual love for the big three and not wanting any intruder, especially Nadal at this moment. And a part of it is him antagonizing the crowd and saying they're people with low IQ and stuff, which I don't think has endeared him necessarily to the public.

So it's a mix of things. But Medvedev surely was crestfallen by this and a bit heartbroken, I think by the whole experience. So he'll have some rethinking to do and resettling to do to be able to be ready to enjoy tennis in this sort of stage once more.

HOLMES: Yes, I can tell you trolling Australian sports fans is never going to run well for the troll.

Ben Rothenberg, it's been great talking to you over the last few of this Australian Open. Beer's on me when you're back.

ROTHENBERG: Thank you.

HOLMES: All right. Now, a mysterious black diamond weighing more than 555 carats is going up for auction at Sotheby's this week. Nicknamed the Enigma, the origin of the diamond has puzzled scientists. Some believe it could've come from outer space. Others say, deep in the earth.

This kind of black diamond called Carbonado (ph) can be about three billion years old. They've mainly been found in Brazil, and the Central African Republic.

AARON CELESTIAN, CURATOR OF MINERAL SCIENCES, NHM: As we know diamonds are quite rare, to begin with. They are shrouded in mystery, as the origin of formation, because there is not that many of them, found on earth.

And this is a particularly great example -- a beautiful example, of one of these types of diamonds.

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HOLMES: Now, the diamonds current owner has had it for two decades. But its history before that is unclear. The beginning -- bidding begins on Thursday. So, you've still got some. It's expected to sell for as much as $7 million.

Thanks for spending part of your day with me. I'm Michael Holmes. You can follow me on Twitter and Instagram, @HolmesCNN.

Do stick around. Another valuable diamond, Rosemary Church, picks up our coverage in a just moment.

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