Bloomberg: Gas exports from Russia to the EU fell to the lowest level since the beginning of the century

Gazprom’s deliveries to key foreign markets have almost halved in 2022 following a decline in exports to the EU and have reached their lowest levels since at least the turn of the century. The agency reports Bloombergwhich analyzed the speech of Gazprom CEO Alexei Miller.

According to Mr. Miller, in 2022 Gazprom exported 100.9 billion cubic meters. m of gas to non-CIS countries. According to the agency, this indicates a decrease in supplies by 46% compared to 2021. The data provided by the head of Gazprom also indicate a reduction in gas production – in 2022 it fell to 412.6 billion cubic meters. m., which is 20% lower than last year’s volumes. This is the lowest level of production since 2008, according to Bloomberg.

The agency recalls that almost all gas transportation routes through pipelines to Europe are inaccessible. Currently, gas is supplied to European consumers through only one branch of the Turkish Stream gas pipeline, through Turkey, Serbia and Hungary. At the same time, Bloomberg notes a gradual increase in Gazprom’s deliveries to China – in December, daily deliveries exceeded contract levels, and on some days they reached records.

According to Deputy Prime Minister Alexander Novak, Moscow continues consider Europe as a potential market for gas sales, despite a sharp drop in production and exports. He expects that due to sanctions, fuel supplies will fall by about a quarter by the end of the year, and production by 12%. For comparison: in 2021, both indicators grew. Production – by 10%, export – by 3%. Despite the overall decline, LNG production and supplies will increase by about 8.5% in 2022.

At the same time, according to Kommersant’s estimate, if current trends continue, in 2023 exports may fall by another 25%, and Gazprom’s share in the EU market will be half that of the United States. If gas exports to China in 2023 are expected to reach 25 billion cubic meters, while supplies to Turkey and the EU remain at the current level, Gazprom’s total exports to non-CIS countries could fall to 75 billion cubic meters.

More details – in the material “Kommersant” Gazprom is learning to live without Europe”.

Erdni Kagaltynov