Russian missile assaults on Ukrainian state-owned fuel belongings have compelled the nation to buy pricey various gas from the European Union.
Supply: Bloomberg
Particulars: Russian airstrikes have decreased manufacturing at key Ukrainian producer Naftogaz by a 3rd, that means the nation might want to import roughly 1 billion cubic metres of fuel.
Though that is lower than 1% of Europe's annual demand, it comes as futures buying and selling nears its highest stage in two years amid provide considerations. Since Russian fuel flows via Ukraine have been lower off earlier this 12 months, fuel reserves within the area’s storage amenities have been quickly depleted.
Ukraine reportedly obtained 724 million cubic metres of fuel from overseas in 2024, the bottom stage since data started. A few third of this was later re-exported to western neighbours who utilised Ukrainian nationwide storage amenities.
Naftogaz, which accounts for about 80% of the nation’s whole manufacturing, elevated fuel manufacturing by 5% final 12 months to 13.9 billion cubic metres.
This week, extra fuel volumes started flowing into Ukraine as Slovakia resumed provides via the Budince border crossing for the primary time since October.
Naftogaz CEO Roman Chumak said that fuel reserves in storage websites are enough for secure operation this winter and the state of affairs is underneath management. He added that the corporate will import fuel "to be prepared for all of the challenges of the conflict".
Background:
- In 2024, Ukrgasvydobuvannya, a member of Naftogaz Group, elevated business fuel manufacturing to 13.9 billion cubic metres, up from 13.2 billion cubic metres in 2023.
- On the morning of 15 January, Russia attacked Ukraine's fuel infrastructure.
- Within the first 9 months of 2024, Naftogaz Group reported a web consolidated revenue of UAH 23.3 billion [approximately US$561.1 million]. In the identical interval final 12 months, the determine stood at UAH 15.3 billion [roughly US$368.4 million].
Support UP or develop into our patron!