Deputy Foreign Minister Sergei Ryabkov said on the BBC’s «HARDTalk» programme that European energy security was a priority for Gazprom:
- We favour energy security of Europe; we want to work collaboratively
- Gazprom has in fact started pumping out from its reserves into the pipelines to stabilise the market
Wholesale gas prices rallied to an unprecedented $1,937/'000 m3 on October 6, after going from strength to strength in recent months on the back of a sharp increase in demand and constrained supply.
While Gazprom says it is meeting its contractual obligations with customers, it has also been accused of withholding additional supply to drive up prices.
Ryabkov, however, said it was not in the company’s «interest to rock the boat further».
The European economy is bracing for high natural gas prices and supply-side pressures ahead of the winter heating season.
And analysis from consultant group Wood Mackenzie warns that a cold winter in Russia could limit Gazprom’s ability to send additional gas supplies through its Nord Stream gas pipeline network and Ukraine, adding «the sky could be the limit for European gas prices this winter».
Author: Daniel Graeber