Page 17 - FSUOGM Week 25 2021

FSUOGM NEWS IN BRIEF FSUOGM

RUSSIA There is no need to sign fuel price 19% over the same period.
stabilization agreements, Russian Deputy
Russia to auction four Prime Minister Alexander Novak said TurkStream gas flow to be
on Friday, adding that a meeting with oil
hydrocarbon deposits in companies was scheduled for June 22. suspended for 7 days due to
"We have ordered the Energy Ministry
Saratov region Aug 17 to assess the market situation. There is such
a possibility but to decide whether there
Russia’s Federal Mineral Resources is a need in introducing it or not, we must maintenance
Agency plans to auction the Yuzhno- analyze the situation additionally and see," The natural gas flow through both offshore
Dergachyovsky, Zapadno-Karamyshsky, Novak told reporters. lines of the TurkStream pipeline will be
Grigoryevsky and Khlebnovsky oil and The Russian government signed fuel temporarily halted from June 22 until June
gas fields located in the Saratov Region on price stabilisation deals with 10 large 29 for annual maintenance and routine
August 17, it said in a statement on June 22. companies in 2018, where the price increase diagnostics, project company TurkStream
The Yuzhno-Dergachyovsky deposit has was tied to forecasted inflation in 2019. The has announced.
recoverable reserves of 37.8 million tonnes agreements ended in 2019 and the market The works will be carried out by South
of oil, 176.7 billion cubic meters of gas, and started to shape the prices. Stream Transport B.V., the operator of the
25.3 million tonnes of gas condensate of the offshore pipeline system.
D1 category, the initial bid is 497 million TurkStream consists of two
rubles. 930-kilometre-long offshore lines stretching
The Zapadno-Karamyshsky deposit EASTERN EUROPE from Russia to Turkey across the Black Sea,
has recoverable reserves of 146 million and two separate onshore lines with lengths
cubic meters of gas of C1 category, and Europe hot weather tightens of 142 km and 70 km.
728 million cubic meters of gas of the C2 Each pipeline has an annual capacity of
category, the initial bid is 22 million rubles. the European gas market 15.75bn cubic metres (bcm).
The Grigoryevsky deposit has The first line is designated for supplies
recoverable reserves of 1.5 million tonnes of further to Turkey's domestic customers, while the
oil of the D1 category, the initial bid is 4.6 second line carries gas further afield in
million rubles. A heat wave sweeping Europe has further Europe via Bulgaria.
The Khlebnovsky deposit has recoverable tightened Europe’s gas market, where price
reserves of 0.3 million tonnes of oil and rose to $360 per 1,000 cubic metres and
0.1 billion cubic meters of gas of the D1 storage has fallen to record lows, Interfax Ukraine states its condition
category, the initial bid is 0.6 million rubles. reported on June 21.
Bids for participation in the four Europe is suffering under a heat wave, for launching Nord Stream II
auctions are collected until July 19. with the temperature in Berlin hitting 34C,
driving electricity demand up for cooling Ukrainian Foreign Minister Dmytro Kuleba
purposes and raising the call on gas as a tweeted on June 14 that Ukraine would be
Gazprom to roadshow 6-yr generation fuel, reports BCS GM. willing to accept the launch of the Nord
“As a result, the price levels at the
Stream II pipeline in return for the de-
Swiss franc Eurobonds from Netherlands TTF hub are the highest in occupation of Ukrainian territory and
ensuring energy security. He called it “fair
over three years, [having] last [been] higher
Mon in early March of 2018, when a massive cold compensation for threats”.
The tweet comes as US President Joe
front (the “Beast from the East”) drove the
Russian gas giant Gazprom plans to offer price temporarily through $1,000 per 1,000 Biden arrives in Brussels for two days of
6-year Eurobonds denominated in Swiss cubic metres,” BCS GM said in a note. meetings, including a one-day summit of
francs, and start a series of calls with “European storage fills slowed last week Nato member states. Ukraine’s security
investors to discuss the possible placement and, although storage rose to 44.3% full situation, Nord Stream II and Russian
on June 21, a financial source told PRIME. on Saturday, this was 0.43ppt below the aggression are among the topics under
Gazprombank, J.P. Morgan, Credit previous record low on that date,” the bank discussion. German Chancellor Angela
Suisse, and UBS will act as the organisers of added. Merkel told reporters that she and Biden
the placement. After the gas glut of 2019 gas supplies spoke at the G7 meeting in Cornwall, and
have been depleted by a very cold winter told Biden that Ukraine must remain a gas
and now a very hot summer. The price for transit partner.
Deputy PM Novak says sees gas has tripled from the start of this year weak position of the Ukrainian government
“Kuleba’s posturing underscores the
and that has driven up Gazprom’s profits
no need in fuel price deals and stock price, which is up 28% YTD, regarding Nord Stream. At this point, it can
do little more than hope that its interests
slightly ahead of the RTS index, which is up
Week 25 23•June•2021 www. NEWSBASE .com P17