EU gas supplies may still have Russian gas mixed in

The European Union will receive natural gas supplies that may have Russian gas mixed in, Czech Energy Minister Jozef Sikela told Bloomberg.

Sikela was selected by the Czech government to be a member of the European Commission, and European Commission President Ursula von der Leyen has already reportedly chosen Sikela to lead the bloc’s energy portfolio.

Due to contractual obligations, several Eastern European states have continued to buy natural gas from Russia through a pipeline that runs through Ukraine, despite the bloc’s efforts to distance itself from Russian energy supplies. But those obligations will end this year, resulting in what many would assume would be a clean break for Russian natural gas flows to EU countries.

The reality, however, could be much different, Sikela warned, with an alternative gas supplier for those eastern countries being Azerbaijan – a supplier that would make it difficult to prove the origin of gas purchased.

“We must avoid a situation where we purchase gas that is not officially Russian, but could be exchanged for Russian gas down the road, undermining our efforts to reduce dependence on Russian supplies,” Sikela warned.

Russian natural gas exports to Europe fell 2 percent in August compared with August last year and July 2024, Reuters estimates showed earlier this week.

In August, gas giant Gazprom’s average daily pipeline shipments to Europe fell to 89.6 million cubic meters, down 2 percent from the month and down 2.3 percent from August 2023, according to Reuters calculations based on data to the European gas transport group Entsog. and Gazprom’s daily reports on gas transit through Ukraine.

Before the start of the war in Ukraine, Russia supplied about a third of all gas to Europe and was the single largest supplier.

Norway has now replaced Russia as Europe’s main gas supplier.

By Julianne Geiger for Oilprice.com

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