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Gazprom stops gas supply to Shell in Germany


Russia is responding to the sanctions imposed by the West due to the Ukraine battle with gas cuts.

President of the nation, Vladimir Putin, introduced that they’ll promote pure gas to “unfriendly international locations” in Russian rubles.

Cuts to Germany’s pure gas

Whereas it was determined to reduce gas move to Denmark and the Netherlands, which didn’t adjust to the regulation just lately, Germany was added to the record.

Russian vitality big Gazprom has fully stopped supplying pure gas to Shell beneath the contract that gives gasoline to Germany.

Gazprom’s choice; It got here after Shell refused to pay Gazprom in rubles.

Refused to pay in rubles

Shell Vitality Europe to Gazprom “It doesn’t intend to pay in rubles beneath the contract for the supply of gas to Germany” reported was recorded.

Within the firm’s assertion, “As of the top of the enterprise day on Could 31 (the contractual deadline for fee), Gazprom Export had not obtained fee for gas supply from Shell Vitality Europe in April.

Gas supply suspended

Gazprom Export has knowledgeable Shell Vitality Europe that from 1 June 2022, it’s suspending gas supply beneath the contract till fee is made in rubles. it was stated.

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The quantity of pure gas provided to Shell

Contracts for Russian gas transported to Europe by pipelines had been normally decided in euros.

Gazprom provides Shell with 1.2 billion cubic meters of pure gas per yr. In accordance to the German Ministry of Economic system, this quantity corresponds to just one.3 p.c of the 95 billion cubic meters of pure gas consumed by Germany yearly.

The most important Russian gas importer in Germany

Shell refused to pay Gazprom in rubles, whereas Germany’s main gas importers Uniper and DWE paid for Russian gasoline beneath Moscow’s new fee plan.

Uniper is the most important Russian gas importer in Germany. In accordance to Bloomberg’s report, the vitality firm in query depends upon Russia for greater than half of its gas wants.

Gazprom stops gas supply to Shell in Germany #2

Poland, Bulgaria, Finland

The German vitality big is also called the nation’s largest gas import and storage firm.

Gazprom had beforehand reduce off gas provides to Poland, Bulgaria and Finland as a result of they refused to pay in Russian foreign money.

Recession warning from Deutsche Financial institution

Deutsche Financial institution CEO Christian Stitching had warned that if vitality provides from Russia had been stopped, a recession in Germany could be “virtually inevitable”.

Stitching stated in an announcement in April, “The scenario might be even worse if the import or supply of Russian oil and gas is stopped.” had used the phrase.

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