According to Russian Deputy Prime Minister Alexander Novak, this year’s natural gas shipments from Russia to the European Union are predicted to fall by 50 billion cubic metres (bcm), or by one-third of the volume from last year.
For comparison, according to estimates from Reuters, Russian gas exports to the EU last year reached about 150 bcm.
On the sidelines of an event in Moscow, as carried by Russian news agency Interfax, Novak said: “According to estimates currently in the Ministry of Energy, exports will decrease by about 50 billion cubic meters.”
Since the start of the war with Ukraine, Russia has dramatically reduced its gas shipments to Europe, with the Nord Stream pipeline to Germany not yet shut down. Last week, Russia declared that unless Western restrictions hindering gas turbine repairs in the West are lifted, the main gas export route to Germany wouldn’t reopen.
The Russian gas company Gazprom stated last week that since the year’s beginning, the EU has decreased its imports of Russian gas by 48%, while the EU and UK have decreased their purchases of Russian gas by 49%. In comparison to the same period last year, Gazprom’s exports to nations outside the CIS have decreased by more than 35% this year.
Nevertheless, an analyst told the Financial Times last week that the gas giant is expected to generate 85% more revenue this year, or about $100 billion, as natural gas prices increased in the wake of the Russian invasion of Ukraine and a significant reduction in Russian pipeline gas exports to Europe.