Russian LNG flows out promisingly

Sergey Kondratiev, Deputy Head of the Economic Department of the Institute for Energy and Finance, commented to Kommersant FM on the supply of Russian LNG to Europe.

The European Commission called on local companies not to renew long-term contracts with Moscow. But they may not listen to advice, Sergey Kondratiev says:

“Long-term contracts for the supply of LNG expire after 2035, so the issue of their extension is not in the future even for the next few years. Companies will approach this very carefully for two reasons. First, Russian LNG remains very price-competitive. Secondly, there is a possibility that in case of early termination of the contract, Russian suppliers will have to be paid fairly large fines.”