Page 17 - FSUOGM Week 30 2022

FSUOGM NEWS IN BRIEF FSUOGM

Turkey confident on day to the EU after Gazprom cut gas flows analyst, Global Gas Supply, at Wood
via the Nord Stream 1 pipeline, Ukraine
Mackenzie. In 2021/2022 Europe finished
extending gas purchase Business News reported on July 26. the heating season with tank storage at 26%
Gazprom announced it was cutting gas
– the lowest level in years.
deals with Russia, flows via the Nord Stream 1 pipeline to
20% of capacity on July 25 citing technical
Azerbaijan and Iran conditions, escalating concerns for gas Azerbaijan ups imports of
storage supplies in the EU.
Turkey intends to extend its natural gas Since May, the company has been AI-92 gasoline 30-fold in
purchase agreements with key suppliers transporting 40-42 mcm of gas per day via
Russia, Azerbaijan and Iran, Fatih Donmez, the Sudzha connection point into Ukraine, Jan-May
the country's energy and natural resources despite the reserved capacity being 77.2
minister, told Haber Global on July 26. mcm per day, Ukrinform reported. As Azerbaijan imported 148,080 tonnes of
Problems with gas supplies were unlikely Ukraine’s Gas Transportation System AI-92 motor gasoline in January-May,
to afflict Turkey this winter as the country Operator (GTSOU) noted, the total capacity equivalent to an increase of 29.6 times year
would contractually secure its interests in of the Sudzha point is 244 mcm per day. on year, government figures show. In value
the runup to winter, he said, speaking at a “Nord Stream 1 and Nord Stream 2 are terms, the volume of imports amounted to
time when countries across Europe are set redundant. I believe they were part of the $169.9mn, up 71.2 times.
to ration gas as they fear Russia will not aggression that we have been observing At the same time, 72% of the total
provide enough for their winter reserves in from the beginning,” commented the import of AI-92 motor gasoline (or 106,456
a tactical attempt at exerting pressure on the general director of GTSOU, Sergiy tonnes) valued at $122mn was attributed
EU for its opposition to its war in Ukraine. Makogon. to purchases from Russia. The rest of the
"Our main suppliers are Russia, With Nord Stream running at 20% volume was supplied by Turkmenistan
Azerbaijan and Iran,” Donmez continued. capacity, Europe does not have enough gas (36,571 tonnes at $41.7mn), Kazakhstan
“We intend to extend contracts with them in its storage tanks. Gas tanks in Europe are (3,526 tonnes at $3.9mn) and Romania
for a new period. We strive to meet our only 66.7% full, with few countries attaining (1,525 tonnes at $2mn).
energy needs." the 80% goal. GTSOU claims Europe could
In recent years, Turkey has attempted receive reliable gas transits and a reduced
to gain more leverage in its negotiations price for blue fuel to help prepare for the Taliban reportedly
for pipeline gas by pointing the rising heating season if it utilises the Ukrainian
availability of liquefied natural gas (LNG) GTS. importing cylinder gas from
deliveries. It has also pushed for more "When discussing the problems of gas
competitive pricing and flexibility in deal supply via Nord Stream 1, Europe should Turkmenistan
renewals, but booming gas prices have not forget that there is an alternative
undermined that strategy. option: the Ukrainian GTS," Makogon Afghanistan's Taliban regime and Turkmen
Turkey imports gas from Iran under an said. "Besides, this way Europe will be able authorities have signed an agreement on the
agreement signed in 1996 for up to 10bn to protect Ukrainian consumers. After import of thousands of tonnes of liquefied
cubic metres (bcm)/year until July 2026. It all, if Russia depends on the Ukrainian petroleum gas (LPG) from Turkmenistan,
commenced in 2001 and was later reduced GTS, it will not deliberately destroy our Khaama Press reported on July 25, citing
to 9.6 bcm/year. infrastructure, which is necessary, above all, Taliban’s Ministry of Commerce and
Turkish state broadcaster TRT Haber to supply gas to the population of Ukraine." Industry.
on July 25 reported Turkish President However, Gazprom is unlikely to After several meetings with Turkmen
Recep Tayyip Erdogan, who a week ago increase its gas transport via Ukraine. officials, the Taliban announced that they
met with his Iranian counterpart Ebrahim Its transit deal with Ukraine, signed in had struck a deal for cylinder gas to be
Raisi in Tehran, as saying Turkey has every December 2019, promises a minimum of imported via the border points of Hayratan,
intention of importing more Iranian oil and 40bn cubic metres, and Russia is unlikely to Aqina and Turghandi.
gas. go significantly over this. The decision to import LPG from
Raisi, meanwhile, said after his meeting At 20% of capacity, or 33 mcm per day, Turkmenistan involved the Afghanistan
with Erdogan that Tehran and Ankara Europe can refill storage to only 75%- National Standards Authority, Afghanistan
believed they could boost their annual 80% ahead of winter, Wood Mackenzie Oil and Gas Corporation and the economic
bilateral trade to around $30bn. consultancy told Reuters. For the previous advisor to the Taliban prime minister.
month and a half since June 15 (excluding The price of gas will drop significantly
the scheduled 10-day maintenance break), when the imported cylinder gas arrives on
Ukraine could increase gas Nord Stream has operated at 40% capacity, the Afghan market, Taliban officials were
or 66 mcm per day. Nord Stream 1's
reported as saying.
transits to EU to over 200mn nameplate capacity is around 165 mcm per A kilogram of cylinder gas lately reached
the price of AFN78 ($0.87) while a litre of
day.
cubic metres per day through the heating season with only 20% diesel hit AFN120 ($1.34) in Afghanistan.
"As a result, Europe is likely to get

Ukraine has stated it could increase gas gas in store at the end of March – a very low
transits to over 200mn cubic metres per level," said Kateryna Filippenko, principal

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