Gazprom Export News Gazprom Export News Tue, 17 Apr 2018 19:00:00 +0400 gazpromexport en Gazprom Gas Exports to Europe Rise 6.3% Since Start of 2018 Tue, 17 Apr 2018 19:00:00 +0400 Gas production and deliveries of Gazprom continue to grow even after the end of the winter heating season. According to PJSC Gazprom, from April, 1 to April, 15 the company produced 21.9 billion cubic meters of gas, by 22.4% more than in the first half of April 2017. The cumulative production for the first three and a half months of this year is by 7.5% higher compared to the same period of the last year.

The reason for this notable increase in production is  the steady growth of consumption of the Russian “blue fuel” both in domestic market and abroad. According to the company’s operational data, from January, 1 to April, 15, 2018, Gazprom supplied 62.2 billion cubic meters of gas to the Far Abroad countries, which is by 6.3% or 3.7 billion cubic meters more than in the first three and a half months of 2017. During this period, Russian imports increased within the potential markets of “Nord stream 2” project in Western Europe. For example, supplies to Austria increased by 74.5%, to the Netherlands — by 108.9%, to France — by 9.5%. 

“The largest increase in absolute terms — by 2.1 billion cubic meters — was demonstrated by the leading importer of Russian gas, Germany. Since the beginning of the year, Gazprom has supplied 18.6 billion cubic meters of gas to the country. In annual terms, this would make 64.7 billion cubic meters, which, for comparison, exceeds the capacity of Nord Stream gas pipeline,” said Alexey Miller, Chairman of the Gazprom Management Committee.

Nord Stream 2 Receives Full Set of Permits in Finland Thu, 12 Apr 2018 13:00:00 +0400 Project developer Nord Stream 2 AG received the second permit issued by the Regional State Administrative Agency of Southern Finland in accordance with the Water Act, required to construct and operate the planned Nord Stream 2 gas pipeline, thus completing the permitting procedure in Finland. The first permit received last week was the Government’s consent for the construction of the pipeline in the Finnish Exclusive Economic Zone.

“This is an important day for our project: following a very thorough analysis and extensive engagement the Finnish authorities have approved our detailed plans to construct and operate the 374-kilometre Finnish section of the Nord Stream 2 Pipeline. We look forward to continuing the constructive co-operation with the authorities during the construction and subsequent operation phases of the project as they monitor the implementation of our plans,” said Tore Granskog, Permitting Manager Finland at Nord Stream 2 AG.

The permitting procedure in Finland was initiated in autumn 2017. It was based on the environmental impact assessment (EIA) phase and feedback received during the public consultations. Nord Stream 2’s Finnish EIA report was highly appraised by the Finnish Association for Impact Assessment in March 2018 for the inclusion of an extensive amount of information about the project’s route alternatives and their potential environmental impact.

Nord Stream 2 AG has already received the necessary set of approvals in Germany. The project company emphasizes that national permitting procedures in the other three countries along the route — Russia, Sweden and Denmark — are also proceeding as planned.

Read more on Nord Stream 2 AG website.

Government of Finland Gives Consent to Nord Stream 2 Construction Fri, 06 Apr 2018 14:00:00 +0400 On April 5, 2018, the Finland’s Ministry of Economic Affairs and Employment gave the Government’s consent on the use of the Finnish Exclusive Economic Zone (EEZ) for the construction of the Nord Stream 2 gas pipeline.

As noted in a press release of the Cabinet of Ministers of Finland, 374 kilometers of the 1,220 km-long pipeline will pass through the Finnish EEZ. Among the consent terms and conditions, the Finnish Government states that the project must be carried out without harm to the environment, and also should allow the implementation of potential other infrastructure projects in Finland’s EEZ at a later stage.

“We are very pleased to have obtained this permit after an extensive and thorough permitting process. It marks yet another important milestone for the Nord Stream 2 project,” said Tore Granskog, Permitting Manager in Finland at Nord Stream 2 AG.

The second permission, required from the regional administration of Southern Finland in accordance with the Water Act, is expected in the coming weeks. The necessary environmental research done for this purpose was highly appraised by the Finnish Association for Environmental Impact Assessment (FAIA).

Nord Stream 2 AG has already received the necessary set of approvals in Germany. The project company states that national permitting procedures in the other three countries along the route — Russia, Sweden and Denmark — are proceeding as planned.

Read more on Nord Stream 2 AG website and on Finnish Government Media Service Portal.

Gazprom Sets Another Record in Monthly Gas Supplies Tue, 03 Apr 2018 17:00:00 +0400 Gazprom reports a growth of production and supply despite the end of calendar winter. According to preliminary results of Q1 2018, an absolute monthly record of 19.6 bcm was set for gas supplies in March to the Far Abroad countries. The previous record of 19.1 bcm was set in January 2017.

Within Q1 2018, Gazprom supplied a total of 54.4 bcm to the Far Abroad countries. The increase amounts to 3.3 bcm or 6,6% compared to the same period of 2017. According to the Q1 results, supplies increased to Germany by 12.2%, to France by 11.1%, to Austria by 83.5%, to the Netherlands by 127%, to Finland by 15.5%, to Greece by 36.4%.

Gazprom also increased gas production. In March 2018, 46.5 bcm were produced, which is higher than Gazprom’s production in January and February of this year and also 20.5% (7.9 bcm) more than in March 2017. This is the maximal volume of gas production for this month over the last six years.

EU Gas Demand Hits Six-Year Record in 2017 Sat, 31 Mar 2018 12:00:00 +0400 The total consumption of natural gas in the countries of the European Union (EU) in 2017 amounted to 491 bcm, which is 6% more than in 2016. This is the highest level of demand for the “blue fuel” since 2010, the Market Observatory for Energy of the European Commission (EC) states in its Quarterly Energy Report on European Gas Markets for Q4 2017, published on March 26.

The volume of EU gas imports in 2017 amounted to about 360 bcm, exceeding the value of 2016 by 10%. As noted in the EC report, all major gas suppliers — Russia, Norway and Algeria — registered a year-on-year growth in Q4 2017, while Russia retained the largest market share, having increased the pipeline supply by 12%.

The EU’s own gas production in 2017 amounted to 128 bcm, which is 3% less than in the previous year. In particular, in 2017 the Netherlands became a net importer of gas for the first time in history. The annual gas consumption in this country exceeded the volume of its own production.

Read more on the Market Observatory for Energy page of the European Commission website.

Nord Stream 2 Receives Full Set of Permits in Germany Tue, 27 Mar 2018 17:11:29 +0400 On 27 March 2018 the Federal Maritime and Hydrographic Agency of Germany issued the Nord Stream 2 AG the permit for the construction and operation of the 30-kilometres-long pipeline section in the German Exclusive Economic Zone in accordance with the Federal Mining Act (BBergG).

The Stralsund Mining Authority had on 31 January 2018 approved the construction and operation of the pipeline in the German coastal waters (within 12 nautical miles) as well as its landfall area.

“We are pleased that all necessary permits are now in place for the 85 kilometers-long German route section,” said Jens Lange, Permitting Manager for Germany at Nord Stream 2 AG.

The extensive process for the approvals was carried out in accordance with German national law since April 2017. The national permitting procedures in the other four countries along the pipeline route — Russia, Finland, Sweden and Denmark — are proceeding as planned. Nord Stream 2 AG expects the remaining permits to be issued in the coming months.

Read more on Nord Stream 2 AG website.

The Federal Maritime and Hydrographic Agency of Germany press release (in German language).

“Good Environmental Impact Assessment” Award for Nord Stream 2 in Finland Fri, 23 Mar 2018 18:00:00 +0400 Environmental Impact Assessment (EIA) submitted by Nord Stream 2 AG was awarded a “Good EIA Award” at the annual EIA Day held in Helsinki, Finland on March 22, 2018. The EIA was drafted by Nord Stream 2’s environmental consultancy company Ramboll Finland.

“We are very pleased with this recognition and I would like to thank Ramboll for their excellent work. Their experience gained from the previous Nord Stream project was a good starting point for the development of Nord Stream 2’s EIA. Nord Stream 2 has taken into consideration the feedback received from various stakeholders in the implementation of the project as much as possible. We are committed to constructing the pipelines in such a way that the impacts will remain as limited as possible”, says Tore Granskog, Nord Stream 2’s permitting manager for Finland.

The Environmental Impact Assessment material is used as the basis for decision-making in the permitting procedure in Finland, where Nord Stream 2 requires two permits for the planned pipelines running 374 km through the country’s exclusive economic zone (EEZ): the government’s consent for the use of the EEZ, and a Water Permit for the construction and operation of the pipeline. These are expected to be received in the next weeks.

Nord Stream 2 AG has already received permits to start construction of the pipeline offshore section in the waters of Germany and the receiving terminal on its territory. Apart from Finland, also Sweden, Denmark and Russia are expected to grant permits.

Read more on Nord Stream 2 AG website.

European UGS Reserves Down to Record Lows Thu, 22 Mar 2018 11:00:00 +0400 The withdrawal of gas from European underground gas storage facilities, where the reserves have decreased down to the record low rates, is continuing.

As of 19 March, according to the Gas Infrastructure Europe Association, 61.9 bcm of gas have been withdrawn from gas storages in Europe. Therefore, even before the end of heating season the overall offtake volume has reached its maximum amount in the history of GIE records.

By March 20, European storages were filled at 20.5% on average. In some countries, such as Belgium and France, storage facilities are emptied by 94-96%. 


Gas Infrastructure Europe association has been keeping records since 2011.
According to GIE statistics, during the preparation to the 2017/2018 heating season, avolume of 59.8 bcm of gas has been injected into European gas storages.

Gazprom’s Exports Continue to Grow Fri, 16 Mar 2018 18:00:00 +0400 Cold weather in Europe continues to drive demand for Russian gas. According to Gazprom, in the first half of March 2018, exports to the Far Abroad countries grew by 29.4% compared to the same period of 2017, up to 9.7 bcm.

From January 1 to March 15, 2018, 44.4 bcm of gas were delivered to the consumers in the Far Abroad, which marks the growth of 3.4% or 1.5 bcm compared to 2017. In particular, in the first two and a half months of this year exports to Germany grew by 11.1% (1.3 bcm), to Austria — by 90.5% (1.3 bcm), to the Netherlands — by 114.2% (1 bcm).

According to current data by Gas Infrastructure Europe Association, the reserves in the European gas storages are now significantly depleted against the backdrop of severe colds and rapidly increasing demand for gas. As of March 13, 2018, the overall volume of gas withdrawn from the UGS over the current heating season totaled to 60.1 bcm which is higher than the volume of 59.8 bcm pumped into the storages during the injection period. By March 13 the storages were filled at 23.15%, which is the lowest level for the entire history of records since 2011.

Russian Gas Export Sets New Records Mon, 05 Mar 2018 17:00:00 +0400 Through late February and early March 2018, Gazprom has been breaking records for ten consecutive days, setting new historical maximums of daily gas supplies. A new record level of 713.4 mcm was reached on March 2. In 2017, the maximum value was set on December 19 at 640 mcm.

In addition, this February broke a record for the total exports volume: Gazprom exported a total of 17.4 bcm, which is 6.8% (or 1.1 bcm) higher than in February 2017, and the absolute maximum for this month in the entire history of deliveries to the Far Abroad.

Compared to February 2017, gas exports to Germany in February 2018 went up by 8.5%, to Austria by 115,8% and to the Netherlands by 146,8%.

“These figures are more than impressive. They are indicative of the huge, unique opportunities available to Gazprom and, by extension, to our consumers in Europe. We are a responsible supplier. Yet again, we are doing something only Gazprom can do in the European market, by promptly responding to the sharp rise in demand and providing consumers with the required amounts of gas”, said Alexey Miller, Chairman of the Gazprom Management Committee.

The growth in demand for Russian gas in Europe was also noted by market participants. Bloomberg newswire quotes meteorologist Giacomo Masato from brokerage company Marex Spectron Group: “We see the coldest end of the winter in years, and Russia is the first supplier with enough spare capacity to meet an extreme surge in demand.”

Nord Stream 2 Project Receives Permit for German Territorial Waters Wed, 31 Jan 2018 14:00:00 +0400 Nord Stream 2 AG today received the construction and operation permit for the planned pipeline in German territorial waters and the landfall area in Lubmin, near Greifswald. The Stralsund Mining Authority issued the official approval for this approximately 55-kilometre-long section of the pipeline in accordance with the Energy Industry Act (EnWG).

“This is a key decision, which now makes it possible to begin construction of the most important section of the new Nord Stream 2 offshore gas pipeline in German territorial waters and receiving terminal in Greifswald” — said Alexey Miller, Chairman of the Gazprom Management Committee.

“This permit is the result of an extensive planning and consultation process. Nord Stream 2 is aware of its responsibility towards this sensitive natural habitat and has taken this into account in the planning phase. In addition to the environment, these considerations also include the interests of other parties concerned, such as the shipping and tourism industries,” said Jens Lange, Permitting Manager Germany at Nord Stream 2 AG. “This permit is an important milestone in the complex permitting process for the project as a whole.”

In early November 2017, Nord Stream 2 received the Stralsund Mining Authority’s approval of mining activities for the Nord Stream 2 Pipeline in the area of the German continental shelf (equivalent to the German Exclusive Economic Zone, or EEZ). This is a necessary precondition for the Federal Maritime and Hydrographic Agency (BSH) to issue its permit for the German EEZ, which is expected in the first quarter of 2018.

The national permitting procedures in the other four countries along the route — Russia, Finland, Sweden and Denmark — are also proceeding as planned. Nord Stream 2 has fulfilled all requirements and expects the permits to be issued in time for the scheduled start of construction in 2018.

See original message and get more info at the Nord Stream 2 website. 

About Nord Stream 2

Nord Stream 2 is a planned pipeline through the Baltic Sea, which will transport natural gas over 1,200 km from the world’s largest gas reserves in Russia via the most efficient route to consumers in Europe. Nord Stream 2 will largely follow the route and design of the successful Nord Stream pipeline.
With Europe’s domestic gas production projected to halve in the next 20 years, Nord Stream 2’s twin pipeline system will help Europe to meet its future gas import needs, with the capacity to transport 55 billion cubic metres of gas per year, enough to supply 26 million European households. This secure supply of natural gas with its low CO2 emissions will also contribute to Europe’s objective to have a more climate-friendly energy mix with gas substituting for coal in power generation and providing back-up for intermittent renewable sources of energy such as wind and solar power.

Media Contact:
Jens D. Müller
Media Relations Manager
+41 41 418 3636

Eurogas comments on European Commission’s proposal to amend EU Gas Directive Fri, 12 Jan 2018 18:00:00 +0400 The Eurogas industry association, representing the interests of 43 European gas market players, has published its position on the European Commission’s initiative to amend the Third Energy Package, which would extend to existing and future gas pipelines from outside the borders of the EU jurisdiction.

The European Commission submitted proposal to amend the Gas Directive 2009/73 / EC in November 2017 claiming that the decision to introduce them is being adopted "to improve the functioning of the EU internal energy market and enhance solidarity between Member States".However, according to Eurogas, this initiative could harm the industry, threatening both existing gas pipelines and new projects, including pipelines from the Eastern Mediterranean and the Caspian region.

Eurogas also notes that any changes in the Third Energy Package regarding the status of offshore gas pipelines still need to be assessed against potential incompatibilities with UNCLOS (UN Convention on the Law of the Sea).

Association believes that applying the Third Energy Package rules to the gas pipelines from third countries creates uncertainty for both the participants and consumers, and carries a potential threat to the existing contractual obligations. Retroactive changes in EU law affect the interests of existing and future gas suppliers and buyers who have concluded deals under the current legal regime.

If the European Commission initiative is implemented, a review of existing intergovernmental agreements will be required without guarantees that renewed agreements would still be mutually beneficial, and the sovereignty of EU member states in concluding future intergovernmental agreements will be curtailed.

Eurogas gives examples of existing pipelines, which legal regime will be affected by the European Commission’s initiative. These are: Medgaz (Algeria-Spain), TransMed (Tunisia-Italy), Green Stream (Libya-Italy), Maghreb-Europe Pipeline (Morocco-Spain), Europipe I+II, Norpipe (Norway-Germany), Nord Stream (Russia-Germany), Transmed Pipeline (Tunisia-Italy) and the United Kingdom pipelines (after Brexit).

Eurogas believes that the European Commission initiative aims to create benefits for the LNG import against the pipeline gas transportation. This creates risks for diversification of supply as well as for suppliers competition.

The full text of Eurogas view on the modification of the Gas Directive can be found on Eurogas website.