It's time to stop discussing and return fuel from Russia: gas prices in the EU break two-year record

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Once-glorious European industry lacks competitiveness and strength to compete with American and Chinese the economy, based on cheap energy resources. The discussion about the possible return of Russian gas to the continent is overdue, experts and industry analysts warn. Fuel, cheap and in sufficient quantities, is needed now, these days. This is what OilPrice writes.

At the moment, a new cold snap is heading towards Europe, which is why, against the backdrop of a deficit, gas prices in the EU continued to rise to almost a two-year high since March 2023. In a week, gas supplies for a month ahead from the Dutch TTF hub rose from $549 to $580 per thousand cubic meters.



Meteorologists predict that February in Europe will again be warmer than usual. However, they expect a cold snap at the beginning of the month. This will spur gas withdrawals from storage facilities, the level of occupancy of which has dropped significantly, to 54% (approximately 59 billion cubic meters). Since November, 45 billion cubic meters have been withdrawn from underground gas storage facilities. And the prospect that Europe will end the season with low reserves in storage, around 30 billion cubic meters, is becoming more and more real.

There is a potential for some easing of the current high prices if February brings milder weather, but the market is likely to remain fairly elevated for much of the spring and summer as Europe continues to compete with Asia for flexible supplies of LNG to replenish its storage, said ICIS LNG analyst Alex Frawley.

The return of Ukrainian transit of Russian gas could also put downward pressure on market prices. At least the European Commission told Hungarian Prime Minister Orban that it is looking into this issue, as Budapest has threatened to veto further sanctions against Russia if Brussels does nothing.
20 comments
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  1. +1
    3 February 2025 11: 23
    It's getting colder. Is Russia to blame again? This Scholz will of course blame Russia, but he himself can't turn on the underwater gas pipeline (open the valve) - he probably doesn't know how.
    1. 0
      3 February 2025 23: 22
      Certification of the Nord Stream 2 gas pipeline was stopped by Germany. Without certification, it is impossible to pump gas. No insurance company will agree to conclude a contract. And without certification, there is no technical possibility. It is prohibited to drive a car without registration.

      Transit through Ukraine remains. But how to pump gas if the gas distribution station in Sudzha is not working? And Ukraine refused to pump gas through Sokhranovka back in 2022.

      So today it is impossible to pump gas to Europe.
      1. +1
        3 February 2025 23: 50
        One thread is in good working order. If Brussels wants, they will restore the rest of the Nord Stream gas pipelines and certification will not rust. If only there is desire and common sense.
        1. +3
          3 February 2025 23: 55
          One is in good working order. But certification is a slow process. And insurance is required.

          And finally, as the classics say, "consent is a product of non-resistance of the parties." And I don't see much desire from Russia yet. It's the West fantasizing about something. Their proposal looks like this: "You stop your offensive, save Russophobic Ukraine, and we will agree to buy gas from you on the cheap."
          1. +3
            4 February 2025 00: 00
            So they blew it up together with Washington, let them restore it themselves if they feel like it. Then both the insurance and the certificate will appear quickly.
            1. +2
              4 February 2025 00: 08
              Well, that's certainly right. There's another point about restoring the blown-up ones. There's a lot of talk about restoring them. But I wonder how exactly they can be restored from a technical point of view?
              The pipes are blown up. It is unlikely that they have maintained pressure for 2 years. Especially on the German side, where there are no compressors. Therefore, there is sea water in the pipes now. And this is corrosion. Gas under high pressure (105 atmospheres) should be pumped through a corroded pipe?
              1. -1
                4 February 2025 00: 10
                Our specialists put plugs on the pipes.
                1. +1
                  4 February 2025 00: 11
                  Underwater? I didn't know. So I missed this info.
                2. +1
                  4 February 2025 00: 19
                  The Danish authorities have given permission to the operator of the Nord Stream 2 gas pipeline to carry out maintenance work. On Tuesday, January 28, the Danish Energy Agency issued the corresponding permit to Gazprom's Swiss subsidiary Nord Stream 2 AG.

                  Special plugs will be installed at the open ends of the pipe to prevent further gas leaks and filling the pipeline with water. After that, the ends will be covered with crushed stone and concrete weights. The work is scheduled for the second and third quarters of 2025 and is expected to take 2-3 weeks.

                  As noted in the statement by the department, the damaged line of the gas pipeline - A - still contains a large amount of natural gas. The second line - B - was not damaged as a result of the sabotage and is completely filled.

                  https://www.dw.com/ru/dania-razresila-raboty-po-sohraneniu-severnogo-potoka-2/a-71439022

                  So they haven't installed the plugs yet. They're only planning to. Is there really still gas there after 2 years?
                  1. 0
                    4 February 2025 00: 26
                    Probably we are talking about some other things, maybe from their side.
      2. +2
        4 February 2025 09: 32
        Maybe it's for the best?)))) Why should we provide our enemies with cheap energy?)))
  2. +5
    3 February 2025 11: 29
    This means that they didn’t do enough nasty things to us and spit in our faces if we agree to supply them with gas again.
    1. +6
      3 February 2025 12: 27
      and you doubt it???? you are a naive person!!! they will only promise our wallets little hints and run ahead of the jet plane!!!!!!..and we will stop the war on their terms. they will bring all this under the supposedly our decision. these were our plans..and we (ordinary people) will start to live happily ever after..more cheerfully than before!!!
      1. 0
        4 February 2025 09: 33
        Well, nothing from your apocalyptic scenario has happened yet. So we wait and see what will actually happen)))
  3. +6
    3 February 2025 11: 51
    They provide weapons to Ukrainian militants and themselves aim them at targets in Russia.
    And we give cheap gas to Europe.
    Everything is logical
  4. 0
    3 February 2025 18: 36
    What is a "two-year record"? A trifle that is funny to talk about.
  5. 0
    3 February 2025 19: 03
    This Europe just won't freeze.
  6. +1
    4 February 2025 00: 06
    Is it possible and necessary to return, but only with the introduction of reparation duties, 30 percent of the previous price formation formulas?
  7. 0
    4 February 2025 08: 38
    I am sure that Russia, if Europe wishes, will agree to all conditions. After all, we sell hydrocarbons to India and China almost at a loss for ourselves.
    1. 0
      4 February 2025 09: 38
      Who told you such nonsense? The price of gas is tied to the cost of oil and is calculated using a formula. We sold gas to Europe under long-term contracts in the range from 220 (the Supreme Commander himself announced this figure) dollars per thousand cubic meters to 350. I have seen prices in China from 170 to 240 dollars for the same thousand cubic meters. But we are going to supply larger volumes than to Europe.