Country to Benefit from Rising Gas Prices in Europe is Named
OREANDA-NEWS. The record rise in gas prices in Europe has brought significant profits not only to Russia, but also to Norway, according to Reuters.
It is noted that today Gazprom and the Norwegian energy company Equinor cover about 60 percent of the EU's gas needs. Considering that its value has increased by 300 percent in recent years, it is assumed that their additional profit in this situation has grown by billions of dollars.
"We have never been as affected by spot gas prices as we are now. The skyrocketing price has come at a very opportune moment for Equinor," said Chief Economist Eirik Wairness.
Nevertheless, the authors of the article note that Equinor may find itself even in a better position than the Russian concern. More than half of the gas Norwegians will sell to spot customers, and 70 percent of this volume - at prices for the day ahead. Gazprom, in turn, sells 56 percent of gas at the cost of a day or a month in advance, and another 31 percent at prices for the next quarter, season or year. At the same time, according to sources in the Russian company, the spot market accounts for about a quarter of supplies to Europe, the agency notes.
Gas prices in Europe have risen sharply in recent weeks. A month ago, the estimated value of the nearest futures on the TTF index slightly exceeded $ 500 per thousand cubic meters, and at the auction on September 15, it jumped to a historical record - above $ 960 per thousand cubic meters.
In turn, the press secretary of the Russian President Dmitry Peskov said that Gazprom is fulfilling all its obligations to its European partners and is ready to sell more gas.