Russian Gas Exports to Europe See Significant Increase in 2024
Total exports of Russian gas to European countries have seen a notable increase this year, with Deputy Prime Minister Alexander Novak stating that they are 18-20% higher than in 2023. In the period from January to November, supplies of pipeline gas and liquefied natural gas (LNG) have exceeded 50 billion cubic meters, according to Novak.
Novak highlighted the continued demand for Russian gas, citing its ecological benefits and cost-efficiency in terms of logistics and pricing. This growth in exports comes after a significant drop in 2023, when Russian pipeline gas supplies to Europe plummeted by 55.6% due to strained relations between Moscow and the West over the Ukraine conflict.
Despite facing challenges, including the upcoming expiration of a gas transit deal between Russia and Ukraine, Novak reiterated Russia’s readiness to supply gas to Europe through multiple routes. The issue of Russian gas transit via Ukraine remains unresolved, with Novak emphasizing the need for agreement between the EU and Kyiv.
On the LNG front, Russia’s seaborne LNG exports have been increasing, with Europe accounting for around half of these exports. While the EU has no immediate plans to halt purchases of Russian LNG, it aims to reduce its reliance on Russian gas by 2027 through imports from other countries such as Norway, the United States, and Qatar.
Looking ahead, Novak projects Russia’s LNG exports in 2024 to reach around 33 million tons, similar to the volume supplied last year. This steady supply of Russian gas and LNG underscores the country’s continued role as a key energy supplier to Europe.
As geopolitical dynamics and energy transition efforts shape the future of gas trade, Russia remains a significant player in the European energy market. The ongoing demand for Russian gas highlights its importance in meeting Europe’s energy needs, despite the challenges and uncertainties in the region.
(Source: Reuters – Reporting by ReutersEditing by Andrew Osborn and Emelia Sithole-Matarise)