Oil prices soar as COVID recovery, power producers fuel demand


Russian gas giant Gazprom has reserved about a third of the additional gas transit capacity offered through the Yamal-Europe pipeline through Poland for November and has not reserved any volume through Ukraine, auction results showed on Monday.


Gazprom’s data also showed that its gas exports declined in the first half of October compared to the same period in September.


Auction results are being watched closely as Europe eagerly awaits new gas supplies, particularly from Russia, as it grapples with soaring natural gas prices, spurred by tight supplies and the economic recovery.


According to the regional reservation platform, Gazprom has reserved some 32 million cubic meters per day, or 35% of the total additional capacity, offered by the Polish operator Gas System for transit through the Kondratki transit point for the Yamal-Europe pipeline for November.


Gazprom and Ukraine reached a five-year deal on Russian gas transit to Europe at the end of 2019 after protracted talks, complicated by political tensions between the two former Soviet republics.


The Russian company has the right to reserve additional transit capacity in addition to the volumes already agreed. Above all, it refused to buy significant unused capacity through Ukraine this year.


Analysts said Gazprom had not booked larger volumes in a bid to promote the Nord Stream 2 pipeline, which is awaiting regulatory clearance from Germany to start gas exports.


The Ukrainian pipeline operator said on Friday that Russia is sending less gas to Europe through Ukraine than specified in the current transit contract.


The Kremlin and Gazprom have repeatedly stated that Russia meets all gas supply demands from European customers.

EXPORTS


Gazprom also presented its gas export and production data since the start of the year.


According to Reuters calculations, based on this data, Gazprom’s gas exports outside the former Soviet Union fell to 6.5 billion cubic meters (Gm3) from October 1 to October 15, from October 7. 3 Gm3 the previous month.


Overall, Gazprom said its year-to-date gas exports increased 13.1 percent year-on-year to 152.2 billion m3. Its gas production for the period was 399.4 billion cubic meters, up 16.6% year-on-year.

About Leni Loberns

Check Also

UK launches ambitious trade deal with Gulf countries

Talks kick off in Riyadh to strike a trade deal with countries covering £33.1bn of …