Russian gas flows through the Yamal-Europe pipeline to Germany are again interrupted

A view shows pipelines near a gas processing facility, operated by the Gazprom company, at the Bovanenkovo ​​gas field on the arctic Yamal peninsula, Russia, May 21, 2019. Photo taken on May 21, 2019. 2019. REUTERS / Maxim Shemetov

MOSCOW / FRANKFURT, Nov 6 (Reuters) – Gas flows through the Yamal-Europe pipeline westward to Germany have stopped again and are flowing in the opposite direction to Russia, data showed on Saturday of the German gas pipeline operator Gascade.

The reversal of gas flows through one of the three main pipelines transporting Russian gas to Western Europe is the second time that the situation has changed in a matter of days. Over the past week, European gas futures have risen 23% due to the halt in westward flows.

The latest change comes as some regional politicians accuse the Kremlin of restricting supplies in order to pressure Germany and the European Union to approve the Nord Stream 2 gas pipeline – currently undergoing clearance in Germany .

Russia has denied this and has promised additions in the west from November 8 once its own stocks are replenished. Read more

Gascade data on Saturday showed that the input flows at the Mallnow metering point were zero at 10:00 GMT, after being in that state for three hours, having reached an hourly volume of over 3,000,000 kilowatt-hours (kWh ) since Thursday.

Outlet flows at Mallnow – or demands to transport gas to Poland from Germany – amounted to 1,442,934 kWh / hour for the second hour in a row, the data showed.

Flows to Germany at Mallnow, which is on the Polish border, were interrupted last Saturday and did not resume until Thursday.

A spokesperson for Polish gas company PGNiG (PGN.WA) said Poland was receiving gas in both directions.

“Everything is fine from our point of view. The contract with Gazprom (GAZP.MM) is being executed,” said the spokesperson, referring to the Russian gas major.

Russia has said it is focusing on rebuilding national stocks before releasing more gas in Europe. He expects his own replenishment process to complete by November 8.

The level of Yamal flows between Poland and Germany and their orientation are managed by Gaz-System in Poland and Gascade in Germany, according to customer requests. An analyst said last week that the reversal indicated demand from Poland given generally high prices and limited supply of liquefied natural gas (LNG).

PGNiG’s contract with Gazprom provides for the supply of approximately 10 billion cubic meters (Gm3) of gas per year, of which at least 8.7 Gm3 under a firm purchase agreement.

If there is an opportunity to buy cheaper gas from the West and Poland has already bought enough gas under its deal with Gazprom, it can switch to deliveries from the West, have said traders.

Reporting by Alexander Marrow in Moscow, Vera Eckert in Frankfurt and Anna Koper in Warsaw; Editing by Gareth Jones and David Holmes

Our Standards: The Thomson Reuters Trust Principles.

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