EU Gas Has Shrugged Off Putin’s Ruble-Payment Demand. Here’s Why
- European buyers have time to adjust, LNG imports remain strong
- Arrival of summer eases pressure on continent’s gas demand
A tanker passes the gas receiving station of the halted Nord Stream 2 project in Lubmin, Germany.
Photographer: Krisztian Bocsi/BloombergThis article is for subscribers only.
European gas prices for now have shed all the gains accrued after Russian President Vladimir Putin demanded that the nation’s gas be sold in rubles.
Benchmark futures are trading about 15% lower than their closing price on March 23, when Putin unveiled the plan. The European Union has indicated the demand may violate sanctions imposed on Russia following its invasion of Ukraine. Nations including Germany and the Netherlands have also rejected the idea.