Russia’s gas giant has found the much conjecture of Russia increasing gas prices for European customers “strange”, according to the head of Gazprom Export, Elena Burmistrova, late on Wednesday.
Burmistrova, who joined the Flame energy and natural conference online in Amsterdam, said that it is “strange for us to hear accusations that the action of Gazprom led to the rise in gas prices in Europe given that the company has increased gas exports to European customers.”
On Oct. 27, Russian President Vladimir Putin instructed Gazprom to increase the volume of fuel pumped into European underground storage facilities, after which the price of gas in Europe began to decline.
Burmistrova affirmed that Gazprom is neither interested in record low nor record-high gas prices because the latter leads to the degradation of gas demand in Europe, which contradicts Gazprom’s interests as a producer and supplier.
Gazprom wants to see the European market both balanced and predictable so that the company and consumers can successfully develop their business, she said.
Burmistrova explained that since the beginning of the year, the EU’s gas production has fallen by 10 billion cubic meters, while LNG supplies to the European market have dropped sharply.
Gas prices in Europe have risen greatly in the last three to four months and on Oct. 6 prices hit a historic high with futures trading at $1,937.
Experts believe the reasons for such high gas prices are lower storage capacity, limited supply from Russia and high LNG demand in Asia.
By Murat Temizer in Amsterdam
Anadolu Agency
energy@aa.com.tr