Page 11 - GLNG Week 05 2023

GLNG EUROPE GLNG

Germany to look at restricting

Russian LNG imports

GERMANY GERMANY’S government wants to limit Rus- year, accounting for a quarter of the country’s
sian LNG purchases as part of efforts to ratchet overall LNG exports. Russia was Europe’s third
Europe has expanded up pressure on Moscow’s revenue stream, biggest LNG supplier in the year, after the US
Russian LNG imports Bloomberg reported this week. and Qatar.
over the last year Citing written responses by Germany’s Germany’s scrutiny over LNG imports comes
despite having its piped deputy energy minister, Patrick Graichen, to as the country scrambles to develop a raft of LNG
gas supply from the questions submitted by opposition lawmakers, regasification projects to replace its lost Russian
country drastically cut. the news agency reported that the government supply. Berlin hailed the arrival of the country’s
could require gas buyers to disclose the origin first LNG cargo in early January at a new float-
of the LNG they purchase, if the volume is more ing terminal at the port of Wilhelmshaven. That
than TWh. shipment came from Venture Global’s Calcasieu
Russia has drastically cut gas supply to Pass terminal in the US state of Louisiana.
Europe, and Germany, once the biggest export The plan is for Germany to have six floating
market for Russian gas, lost all its supply over storage and regasification units (FSRUs) opera-
the summer when Gazprom restricted flow via tional by the end of this year, each with a capacity
the Nord Stream 1 pipeline. That pipeline is now of at least 5 bcm of gas.
inoperable owing to suspected sabotage in late By rejecting Russian LNG, Europe could
September, while the Yamal-Europe pipeline is exacerbate its energy crisis without causing
incapable of flowing gas westwards to Germany much harm to Moscow’s revenues. Unlike piped
because of sanctions imposed by Russia and gas and to a lesser extent oil shipments, LNG can
Poland against each other. As such, there is little easily be rerouted to other markets – primarily
prospect of Russian gas returning to Germany in Asia. Asian LNG demand growth is set to pick
any time soon. up this year anyway, driven by China’s post-pan-
The same is not true for Russian LNG demic economic recovery, potentially meaning
imports into Europe, however. The continent cargoes that would have gone to Europe will be
in fact increased Russian LNG supplies last diverted. ™

Week 04 27•January•2023 www. NEWSBASE .com P11