Gazprom PJSC keeps the outlook for its gas deliveries to Europe and Turkey for 2021 even as the continent grapples with a supply shortage ahead of the winter. Europe’s gas stocks are at their lowest seasonal level in at least ten years, pushing the region’s benchmark gas prices to record highs earlier this month. However, Russia, Europe’s main gas supplier, has not offered any significant extra cargoes to the spot market, as it prioritises filling domestic storage.
The company’s Deputy CEO, Elena Burmistrova, said Gazprom’s gas exports to Europe and Turkey might reach as much as 183 Bcm by the end of the year, in line with its estimates issued in April, before the energy crisis unfolded. Burmistrova said Gazprom’s gas deliveries to western and central Europe could reach 158 Bcm this year. That would be steady from last year when the region’s energy demand was lower due to pandemic-related restrictions. It would also be significantly lower than a record of 176.8 Bcm in 2018.
Earlier this month, President Vladimir Putin said Russia is ready to export additional volumes to Europe but requires additional requests from its buyers. Putin also said that extra supplies via the Nord Stream 2 pipeline could significantly alleviate Europe’s gas shortage once it gets regulatory permits. Separately, Deputy Prime Minister Alexander Novak signalled that Gazprom could offer extra spot volumes when it finished reinjections into domestic gas storage by November 1.
