Russia's Gas Exports: Moscow Offers Various Routes to Europe Amid Doubts Over Ukrainian Transit
10:02 25.12.2024 (Updated: 11:19 25.12.2024)
© Sputnik . Alexey Vitvitsky
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MOSCOW (Sputnik) - The current gas transit contract between Russia and Ukraine expires on January 1, 2025. Ukraine declared that it has no plans to prolong the contract.
Russia is ready to continue gas supplies to Europe via several routes, not only via transit through Ukraine, Russian Deputy Prime Minister Alexander Novak said on Wednesday.
"As of today, the issue ... has not been resolved, although Europeans and European countries are interested in this. But this depends primarily on the agreement between the European Union and Kiev on the possibility of such supplies. We, in turn, have always stated that we are ready to continue to supply gas not only along the existing line; there are a number of other routes," Novak told the Rossiya 24 broadcaster.
The situation with gas reserves in Europe is tense despite supplies from Russia, and without them the situation will be even more difficult, the official added.
In the next 2-3 years, Russia will become 90% independent from the import of technologies and equipment for the oil and gas industry, Novak said.
"I think that in the next 2-3 years, if we take technologies and equipment for the oil and gas industry, we will reach an almost 90% level of independence," Novak said.
Global oil demand will grow by 1.2 million barrels per day in 2024 and by 1-1.5 million in 2025, Alexander Novak said.
"The situation is stable and normal now... In general, we see that this year the volume of demand on world markets will increase by 1.2 million barrels per day and will amount to 104.4 million... Next year, we estimate about the same—from 1 to 1.5 million barrels per day, an increase," Novak said.
Russia will export 33 million tonnes of liquefied natural gas in 2024, Novak said.
"This year, we expect the total volume of liquefied natural gas supplies to be about 33 million tonnes. This is a fairly large volume already," Novak said.
Russia's pipeline and liquefied natural gas supplies to Europe have increased by an average of 18-20% in 2024, Alexander Novak said, adding that 50 billion cubic meters were delivered in 11 months of the year.
"If you look at the volumes of supplies [of pipeline gas and liquefied natural gas] to Europe, they are 18-20% higher than last year... In 11 months, despite all the statements and sanctions pressure, about 50 billion cubic meters of gas have been delivered because gas is a highly ecological product; it is in demand, and from the point of view of supply logistics and price, Russian gas is the most economically advantageous," Novak said.
The decision to postpone the start of oil production growth within OPEC+ is rational and will ensure smooth supply growth in conditions of smooth demand growth, Novak said.
"The start of the recovery [increasing growth of oil production] has been postponed to April 1 of next year, with a time lag of recovery of one and a half years. In our opinion, this is a rational decision that will allow for a balanced and further development of the situation on the oil market, allowing for a smooth increase in supply in conditions of smooth growth in demand, along with countries that are not part of OPEC+," Novak told the Rossiya 24 broadcaster.
