Winter has been announced

On the eve of the heating season, Gazprom finally stopped gas supplies via the Nord Stream pipeline, citing a malfunction of the last operating turbine at the Portovaya compressor station. Kommersant’s sources do not expect deliveries to be resumed in the foreseeable future. This means a probable new surge in gas prices in Europe, and for Gazprom itself, a further decline in production.

On September 2, Gazprom announced a complete shutdown of the Nord Stream gas pipeline due to malfunctions in the operation of the Siemens Energy Trent 60 turbine identified during maintenance, which, according to the monopoly, create risks of explosion or fire. This is the last turbine operating at the Portovaya compressor station, which Gazprom sent for maintenance from August 31 to September 2. It was assumed that on September 3, deliveries to Europe will resume.

“During maintenance work on the Trent 60 gas compressor unit (GPA No. 24) of the Portovaya compressor station, carried out jointly with representatives of Siemens, an oil leak with an admixture of a sealing compound was detected at the connectors of the terminal connections of the cable lines of the low and intermediate pressure rotor speed sensors,”— the company said in a statement.

Gazprom claims that, according to Siemens, the complete elimination of oil leakage is possible only in the conditions of a specialized repair company.

Siemens Energy responded by saying that the oil leak was not a technical reason for shutting down the turbine. “Such leaks usually do not affect the operation of the turbine and can be repaired on site. This is a normal maintenance procedure,” the company explained.

In the past, the occurrence of such leaks has also not led to a shutdown of work, stressed Siemens Energy, adding: “Regardless of this, we have repeatedly noted that there are a sufficient number of other turbines at the Portovaya compressor station for the operation of Nord Stream.”

According to Kommersant, Siemens Energy and Gazprom do not have a contract for unscheduled maintenance of engines; Portovaya employs resident engineers of the company who carry out technical supervision.

One of these engineers was present when the machine was inspected. Overhaul of gas turbines should be carried out after 25 thousand hours of operation, subsequently its work is extended for the same period. According to Kommersant’s sources, the running time of the stopped Trent 60 turbine at Portovaya is 33.4 thousand hours, thus, after the overhaul, the machine worked 8.9 thousand hours – only a third of the period of overhaul operation.

Now Russian gas supplies to Western Europe will continue only through the territory of Ukraine (through the Sudzha gas measuring station in the amount of just over 40 million cubic meters per day). Greece, Hungary, as well as non-EU Serbia, are now supplied through the Turkish Stream. According to Kommersant’s sources, supplies via Nord Stream can be resumed only if sanctions are lifted, which is possible only if a more general political settlement is reached.

Gas prices in Europe have been declining in the last week, but the market was counting on the return of supplies via Nord Stream after an unscheduled repair. Energy Aspects gas analyst Leon Izbicki told Reuters he expects gas prices to rise significantly at the September 5 open.

For Gazprom, the cessation of supplies means a reduction in production by another 4 billion cubic meters by the end of the year, which will mainly come from the Bovanenkovskoye field in Yamal.

In eight months, Gazprom’s production has already fallen by 14.8%, to 288 billion cubic meters, but in the summer it was supported by the filling of UGS facilities in Russia, which is already almost completed, while usually pumping into storage continues until October.

How problematic the decline in production will be for the monopoly, however, is still unclear. Independent expert Alexander Sobko notes that in 2008-2009, Gazprom’s production fell by 88 billion cubic meters, which did not prevent it from recovering later.

Tatyana Dyatel