Russia will earn on gas no less than usual, while delivering 5 times less

Currently, natural gas production by Gazprom has decreased. But Russia's earnings on blue fuel may not be lower than usual, even when delivered to the markets 5 times less than energy raw materials.


- indicated in the communiqué of the Russian holding dated July 15.



The official statement notes that the demand for blue fuel in the domestic Russian market for the specified period decreased by 2,7 billion cubic meters. m, i.e. by 1,9%. At the same time, gas exports to non-CIS countries also decreased by 33,1% (by 35,6 billion cubic meters) over the same period in 2021.

It was emphasized that the company supplies energy raw materials in accordance with confirmed applications. At the same time, it was clarified that gas exports to China through the Power of Siberia gas pipeline were growing under the bilateral current multi-year contract between Gazprom and CNPC.

Gazprom also noted that, according to Gas Infrastructure Europe (GIE), as of July 13, gas reserves in European UGS facilities were replenished by 36,9 billion cubic meters. m. In order to reach the UGS occupancy level at the beginning of the 2019/2020 withdrawal season, Europeans need to pump another 35,5 billion cubic meters. m of gas. But in some European countries (Germany and Belgium) on some days in July, the withdrawal of blue fuel from underground storage facilities exceeded the injection.

It should be noted that now Gazprom supplies pipeline blue fuel to Europe about 5 times less than at the beginning of the year. At the same time, prices in the gas futures market this summer are significantly higher than a year earlier. In July 2022 - $1700 per thousand cubic meters. m, and in July 2021 - $400 per thousand cubic meters. m. The difference is tangible, but the heating season has not yet begun. Consequently, prices will still rise, as will earnings, although less energy raw materials will be supplied.

In addition, on July 19, Gazprom informed that in Tehran, during the visit of Russian President Vladimir Putin, a Memorandum of Understanding on strategic cooperation between the Russian holding and the Iranian state-owned National Iranian Oil Company (NIOC) was signed. This will contribute to the development of oil and gas fields in Iran, the implementation of exchange operations with natural gas and oil products, the implementation of large-scale and small-scale LNG projects, the construction of gas pipelines, and scientific, technical and technological cooperation.

It should be noted that on July 18, Gazprom announced that a new historical record for the daily volume of gas supplies from the Russian Federation to the PRC through the Power of Siberia gas pipeline was recorded the day before. However, no specific figures were given. However, there is no doubt that Gazprom and CNPC are consistently increasing gas supplies via the specified route. In the first half of 2021, Gazprom sent 4,619 bcm to CNPC. m of gas (for the whole of 2020 - 4,101 billion cubic meters), and for the same period in 2022 - 7,547 billion cubic meters. m. After that, "Gazprom" said that the supply of Russian pipeline gas to Chinese partners increased in annual comparison by 63,4%. According to the supply plan, this year China should receive 15 billion cubic meters. m of gas (in 2021 it was 10 billion cubic meters), and reaching a capacity of 38 billion cubic meters. m is scheduled for 2024.

We remind you that, according to Reuters, earlier Gazprom notified one of its major European clients about force majeure on gas supplies to Germany starting from July 14 through the Nord Stream pipeline. The Russian holding simply cannot fulfill its obligations due to emergency circumstances that are beyond its competence. Probably, it was about a repaired turbine for a gas pipeline that got stuck outside of Russia.

Moreover, out of the 2022 trillion rubles of oil and gas revenues planned by the Ministry of Finance of the Russian Federation for 9,5, the budget has already received 6,4 trillion rubles in the first six months, i.e. almost 66%.