Gazprom threatens to cut supplies to Europe if Russian gas price is bumped

The CEO of the Gazprom company, Alexei Millner, announced this Sunday that the attempt to impose a cap on oil prices gas Russia in Europe will involve cutting off supplies to that region, according to several international media reports.

“We orient ourselves in the signed contracts. A unilateral decision like this is a violation of the current conditions of the contract that implies the cessation of supplies, ”said the manager in statements to Russian television reviewed by the Efe agency.

Gazprom will cut off gas if its price is capped

“A unilateral decision like this is a violation of the current conditions of the contract that implies the cessation of supplies,” Alexei Miller, CEO of Gazprom (lgc), said on Russian television.https://t.co/xLoXOtPSJF

— DW Spanish (@dw_espanol) October 16, 2022

Miller recalled that this reaction to the imposition of price caps on Russian hydrocarbons is provided for in a presidential decree signed last March by the president. Vladimir Putin.

The Russian head of state himself has warned on several occasions that any attempt to limit the prices of Russian crude oil and gas would mean that Russia I would not export these items, adds the medium.

In addition, Putin called the European Union (EU) not to violate the laws of supply and demand that govern international trade.

Among the latest sanctions imposed by the EU on Russia for its military invasion of Ukraine there is the commitment to impose a global limit on the price of Russian oil and its derivatives. In this way, European shipping companies will only be able to transport it from the Eurasian nation to third countries if it is sold at an amount equal to or less than that established.

The cap on the price of oil will not be a fixed amount, but a variable that places the price of Russian crude oil below the global market price, thus reducing the income that Russia obtains from the sale of fuels fossils and that it uses to finance the war against Ukraine, adds the Spanish agency.

The situation occurs in the midst of the situation created by the breakdowns in the Nord Stream and Nord Stream 2 gas pipelines, which suffered four leaks in the section that passes through the Baltic Sea, and which, according to the Gazprom director, would require the replacement of important sections of the damaged threads and lay practically all of them again.

Mysterious explosions cause gas leak in the Baltic Sea

At the end of last September, the Swedish and Danish authorities detected leaks in those gas pipelines operated by the Gazpsrom company, and pointed out that, according to the first investigations, the incidents must have been caused intentionally.

Both nations, together with Germany, began investigations to determine the causes of the presumed sabotage, and Russia announced that it would not recognize their results if they did not allow the participation of representatives of the competent departments of their government and of the Gazprom company.

EFE/OnCuba