Links to the Breadcrumb trail
- world
- News
Finland hires liquefied natural gas ship from US-based Excelerate Energy to help replace Russian supplies
Author of the article:
Reuters
Ann Kauranen and Nora Buli
Publication date:
May 20, 2022 • 9 hours ago • 2 minutes reading • 88 comments Excelerate Energy’s Experience FSRU leaves Ferrol, Spain. Finland said on Friday it had agreed to hire one of the US company’s regasification vessels to help replace Russian gas supplies. Photo by Excelerate Energy LP
Content of the article
HELSINKI – Russia’s Gazprom has informed Finland that it will cut off natural gas flows from Saturday morning, Gasum said on Friday after Finland’s state-owned gas wholesaler refused to pay its Russian supplier in rubles.
Advertising 2
This ad is not yet loaded, but your article continues below.
Content of the article
Gazprom Export has asked European countries to pay for Russian gas supplies in rubles over sanctions imposed on Moscow’s invasion of Ukraine.
Most supply contracts are denominated in euros or dollars, and Moscow already cut off gas to Bulgaria and Poland last month after they refused to meet new payment terms.
Most of the gas used in Finland comes from Russia, but gas accounts for only about 5% of annual energy consumption.
“It is extremely unfortunate that the supply of natural gas under our supply contract will now be suspended,” Gasum CEO Mika Villanen said in a statement.
“However, we have been carefully preparing for this situation, and provided there are no disruptions in the gas transmission network, we will be able to supply all our customers with gas in the coming months,” he said.
Advertising 3
This ad is not yet loaded, but your article continues below.
Content of the article
The final time is scheduled for 04:00 GMT (midnight EST) on May 21.
The Finnish government is seeking to end decades of neutrality by joining the North Atlantic Treaty Organization, which Moscow opposes expanding.
In Germany, big business is drawing up a plan to use a tender system to help ration up available supplies in the event Russia stops its gas. Germany is approaching the deadline this month to pay for fuel under the ruble scheme requested by Moscow.
A plan drawn up by the German Bundesnetzagentur (BNetzA), which will be responsible for standardization in the event of an emergency gas supply, examines which companies should be given priority. “Depending on the severity of the shortage, it may be necessary to reduce gas supplies to some consumers to zero,” he said this week.
Advertising 4
This ad is not yet loaded, but your article continues below.
Content of the article
German industry is particularly concerned about energy-intensive factories, such as the production of glass, steel, food or medicine, as well as the chemical sector, which provides many of the building blocks of the industry.
Discussions on possible rationing became urgent after Russia cut off gas supplies to Bulgaria and Poland last month.
Finland said on Friday it had agreed to hire a storage and regasification vessel from US-based Excelerate Energy to help replace Russian supplies starting in the fourth quarter of this year.
The ship converts liquefied natural gas (LNG), which can be sent back to gas.
Gazprom did not immediately respond to a request for comment.
Share this article on your social network
Advertising
This ad is not yet loaded, but your article continues below.
NP Published
Sign up to receive daily top stories from the National Post, a division of Postmedia Network Inc.
By clicking on the register button, you agree to receive the above newsletter from Postmedia Network Inc. You can unsubscribe at any time by clicking the unsubscribe link at the bottom of our emails. Postmedia Network Inc. | 365 Bloor Street East, Toronto, Ontario, M4W 3L4 | 416-383-2300
Thank you for registering!
Welcome email is on the way. If you don’t see it, please check your junk folder.
The next issue of NP Posted will be in your inbox soon.
There was a problem registering with you. Please, try again
Comments
Postmedia is committed to maintaining a lively but civic discussion forum and encourages all readers to share their views on our articles. It can take up to an hour to moderate comments before they appear on the site. Please keep your comments up to date and respectful. We have enabled email notifications – you will now receive an email if you receive a response to your comment, there is an update on the comment thread you follow, or if a user you follow comments on comments. Visit our Community Guidelines for more information and details on how to adjust your email settings.
Add Comment