Gazprom Raises Italy Supply 60% to Cover Libya Shortfall

OAO Gazprom, Russia’s gas export monopoly, has increased shipments to Italy to 48 million cubic meters a day to replace supply lost when a pipeline from Libya to Sicily was shut last week.

Before the crisis in the North African country, Gazprom had been shipping 30 million cubic meters a day, Sergei Kupriyanov, a Gazprom spokesman, said today by telephone. Supplies were boosted to 40 million cubic meters a day on Feb. 22, he said.

Italy may have a shortage of 7.9 billion cubic meters of gas if the Greenstream pipeline from Libya remains halted, Societe Generale SA said on Feb. 25 in an e-mailed report. The drop in supplies may let Eni SpA, Italy’s biggest oil company, reduce a surplus of prepaid Russian gas, the bank said.

Italy, which gets about 10 percent of its gas from the stopped pipeline, had 8.9 billion cubic meters of gas reserves, Industry Minister Paolo Romani said on Feb. 23.

To contact the reporter on this story: Anna Shiryaevskaya in Moscow at ashiryaevska@bloomberg.net

To contact the editor responsible for this story: Will Kennedy at wkennedy3@bloomberg.net

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