Russia's Gazprom saw its exports sink to the lowest level this century as flows to Europe dwindled

Russia has lost Europe as a key buyer of its energy after the Ukraine war.

Getty Images

• Russia's Gazprom saw its exports to key foreign markets shrink 46% this year, per Bloomberg.
• Gas output is forecast to fall to 412.6 billion cubic meters this year, marking a 20% drop from 2021.
• Exports fell after Russian gas flows to Europe got squeezed this year amid the fallout from the Ukraine war. 

Russian energy giant Gazprom saw its exports to key markets fall this year to its lowest level since the start of the century as the Kremlin cut flows to Europe, according to Bloomberg. 

Gazprom delivered 100.9 billion cubic meters of gas to countries outside the ex-Soviet Union, CEO Alexey Miller said Wednesday in the company's Telegram channel, per the outlet. That marks a 46% drop from 2021. 

The firm's gas production declined to 412.6 billion cubic meters this year, Miller added. That represents an annual drop of almost 20% and the lowest level since at least 2008, per state media. 

Russian energy exports to Europe, one of its biggest buyers, slumped this year as Moscow cut gas flows in retaliation to the economic sanctions slapped on the country after it invaded Ukraine.

It curbed supplies to the EU via the key Nord Stream 1 pipeline in August, prompting many European leaders to accuse Moscow of weaponizing energy to create an economic crisis.

But in a turn of events, Russia's deputy prime minister Alexander Novak told TASS news agency this week that Moscow is prepared to resume some gas flows to Europe. 

As Russia loses out on its key European market, it's been diverting large volumes of fuel to buyers in India and China. In 2020, Gazprom sent 4.1 billion cubic meters of gas to China, then 11 billion in 2021. And next year, that figure is expected to double.

Read the original article on Business Insider

from Business Insider https://ift.tt/w8PlgYm