Page 130 - RusRPTOct22

LNG.
A non-workable plan: Different European countries have differing levels of exposure to Russian gas and thus a full shutdown of exports as signaled by Moscow, should such a price cap be implemented. Therefore, getting the unanimous approval of this plan was always highly unlikely, in our mind. If implemented, the full loss of Russian gas would drive the price for the remaining supplies even well above the $2,000-3,000/mcm prices seen in recent week, themselves previously unheard of levels, and all but guarantee winter fuel shortages and power blackouts in Europe, arguably making this action substantially more expensive for Europe than for Gazprom and Russia.
Mongolian President Khurelsukh Ukhnaasaid on September 15 at a trilateral meeting with Russian President Vladimir Putin and Chinese President Xi Jinping that he supports the construction of oil and gas pipelines from Russia to China via Mongolia. The three presidents met at a summit of the Shanghai Cooperation Organisation (SCO) in the Uzbek Silk Road oasis of Samarkand. Khurelsukh stated that he backed the pipeline plans, proposing studies of their economic feasibility. Khurelsukh, as reported by Reuters, said: "We also support the construction of oil and gas pipelines to supply natural gas from Russia to China through the territory of Mongolia and propose to study this issue from the viewpoint of technical and economic justification".
The EU has announced a reduction of Russian gas supplies from 40% to 9%. The EU is working on the problem of consumer protection and reducing dependence on Russian gas. At the beginning of the war against Ukraine, the Russian share in external supplies to the EU was 40%, and currently, it has decreased to 9% of the total volume of gas imports, Ursula von der Leyen said. The head of the EC also emphasised that the EU faces an emergency in the energy field because Russia is an unreliable supplier trying to manipulate the European energy market. According to von der Leyen, Europeans could reduce these negative trends by reducing their demand for gas. This would make it possible to fill the joint gas storage by 82%, which is a better indicator than in previous years.
130 RUSSIA Country Report October 2022 www.intellinews.com