Posted on 05/31/2022 9:15:35 AM PDT by kiryandil
Russia cut its gas supply to top Dutch trader GasTerra on Tuesday, escalating the economic battle between Moscow and Brussels and pushing up European gas prices.
The move comes a day after Denmark flagged a potential end to its Russian gas supply and the European Union's toughest measure yet against Russia for its invasion of Ukraine, an agreement to halt sea-borne imports of its oil.
GasTerra, which buys and trades gas on behalf of the Dutch government, said it had contracted elsewhere for the 2 billion cubic metres of gas it had expected to receive from Gazprom through October.
"This is not yet seen as a threat to supplies," Economy Affairs Ministry spokesperson Pieter ten Bruggencate said.
On Monday, Danish firm Orsted warned that Gazprom Export could also halt its supply but it too said such a move would not immediately put Denmark's gas supplies at risk.
The benchmark front-month gas contract rose around 5% on Tuesday morning to around 91 euros/MWh but remained well below highs over 300 euros/MWh hit in early March.
"While the market was largely expecting both companies to be cut off, this development will make the supply-demand balance that much tighter," ICIS analyst Tom Marzec-Manser said on Twitter.
Russian gas flow to Germany via the Nord Stream pipeline stopped on Tuesday which analysts said was likely due to the cut off to the Netherlands.
Moscow had already stopped natural gas supplies to Bulgaria, Poland and Finland citing their refusal to pay in Russian roubles, a demand made in response to Western sanctions that have isolated Russia including cutting it off from the SWIFT international bank messaging system.
The gas supply cuts have boosted already high gas prices, turbocharging inflation and spurring European governments and companies to chase alternative supply and the infrastructure to handle it...
(Excerpt) Read more at israelhayom.com ...
Windmills and solar will save the day!
Finland is moving its herds of unicorns south to plug into the special adapters on the shuttered Russian pipeline that will enable the Dutch and the Danes to collect the unicorn farts.
Besides opposing Brexit, when was the last time the EU stood up in unison against anything? They’ll shatter by the Fall.
Unfortunately Russia holds the cards here. Russians are used to hardships. Even though it is in better shape than under the Soviets, Russian people don’t have the soft lives that The Danes, etc do. Russians can endure and have repeatedly. Danes surrender to Islamic invaders. It is the EU that is going to surrender first.
Pay your bills. I wonder what this will mean for the citizens. I’m sure that wasn’t top of mind.
Dutch gas storage is around 37% full at the current time [Gas Infrastructure Europe data].
Winter is coming, Euro-weenies!
Denmark is 3.5% Muslim. Russia is 10% Muslim
Biden cut our energy off and we did nothing wrong
You will sell me what I need to survive on the terms I dictate!
You cannot sell what others need to survive unless you do so on terms I dictate!
OMG - How dare you sell what I need to survive to customers who don’t dictate the terms of the sale. You are EVIL!!!!
“the Netherlands and Denmark struggle to understand basic economic facts...”
“the Dutch government, said it had contracted elsewhere for the 2 billion cubic metres of gas it had expected to receive from Gazprom”
Poland is also not renewing its long term contracts for Russian supply. They have also contracted with other suppliers. No one who was cut off (or cut themselves off, in the case of Latvia, Lithuania and Estonia), is planning on a future dependent on Russian supplies.
Even the other European customers who have agreed to pay in rubles in the near term, are rushing to sign long term supply contracts with other suppliers. Qatar won’t agree to any more that run less than 20 years.
Once these customers are gone, it will be very hard to lure them back, except for reduced quantities at discount rates. No European Country will allow itself to be dependent on Russian supply, and vulnerable to Russian policy, after this initial transition is complete. The danger of relying on Russian supplies is no longer questioned.
“Finland is moving its herds of unicorns south to plug into the special adapters on the shuttered Russian pipeline that will enable the Dutch and the Danes to collect the unicorn farts.”
Actually, they are increasing their volume through the non-Russian sourced Balticconnector pipeline, and have leased a floating LNG terminal, that will make make up for all the volume shut off from Russia.
Another long term Russian gas customer, now gone to other suppliers, for the long term.
Russia doesn't CARE about the rocket surgeons in the Euro-peeing Onion.
EVERYONE wants to buy energy.
The Euroweenies will get nothing, and like it.
They'll sail those Russki-oil tankers around for a while, changing owners, flags and manifests - until the same Russian oil shows up in Europe at 20 times the price...
Put down the crack pipe, Beau-Bo Biden.
“Other suppliers”
For example, you may have heard of the world’s largest producer, the USA. The USA signed a long term supply contract with Germany, that had not even been a proposal before Putin’s most recent invasion. Canada too. Talks are far along with Qatar.
Italy is invested a lot, and signing deals in nearby top ten producer Algeria.
Poland is activating a new pipeline to bring in Norwegian gas, this Fall.
All around Europe’s coastlines, LNG terminals are being built and expanded, at record speed.
There is an historic feast underway, on Russia’s former market share.
All the oil and gas majors that have suddenly withdrawn from their Russian projects, are hurrying to expand capacity elsewhere, and getting pretty much blank check lines of credit from Western Governments to finance it.
Russia firing its customers, like today’s shutoff of the Netherlands (Finland, Poland, Bulgaria, etc.), is an innovative business strategy, that has traditionally been considered bad for business.
All your "suppliers" are will-o-the-wisps - in the future. BTW - how long do you think American natgas consumers are going to put up with their gas bills going up because we're shipping LNG over to EuroTards? You should stay in your lane - posting bogus vaccination numbers.
"I can post Pollyanna-ish feelgoodisms about what's going to happen in six months or a year, and treat it as reality!"
WINTER IS COMING.
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