Saturday, 26 November, 2022

Russian gas exports to EU via TurkStream plunge

Russian gas flows to the EU via the TurkStream pipeline dropped by a quarter at the end of September compared to the end of August, the Russian newspaper Vedomosti reported on Saturday.

According to the report, which cited data from the association of Europe's transmission system operators, on September 29 about 32 million cubic meters of gas were supplied to the EU through the Strandzha 2-Malkoclar entry point on the Turkish-Bulgarian border. This is about 25% less than at the end of August, when the pipeline supplied about 43 million cubic meters of gas per day, reports RT.

On Thursday, the Russian-owned operator of the TurkStream pipeline, South Stream Transport, said that the Netherlands had withdrawn its gas export license due to the latest EU sanctions package against Russia, which implies a ban on the export and provision of pipes for Russia’s use. Announcing their decision to revoke the license ahead of schedule, the Dutch authorities also referred to the ban on the supply of goods and provision of services, including technical assistance and maintenance of the pipeline in Russia’s exclusive economic zone and on its continental shelf.

European gas futures spiked on the news of the license withdrawal, jumping 10% on Friday to $2,087 per thousand cubic meters, or €205.995 per megawatt hour.

However, South Stream Transport later noted that the sanctions do not expressly impose restrictions on the transportation of gas via the pipeline. The company has already applied for a renewal of its export license.

Representatives of the operator said that the gas delivered to Europe via Turkish Stream supports the region’s energy security and that the pipeline is likely to be exempted from sanctions for this reason.