ISTANBUL, Oct. 31 (Xinhua) — Excluding Russian liquefied natural gas (LNG) from the global gas balance will drive up the gas price, Leonid Mikhelson, CEO of Russia’s second-largest gas producer Novatek, said on Thursday.
Speaking at the Verona Eurasian Economic Forum, Mikhelson said Russia accounts for more than 10 percent of global LNG production, adding that it is unrealistic to remove the country from the global gas balance.
On Oct. 23, EU member states approved the bloc’s 19th package of sanctions against Russia, including a Russian LNG import ban. The ban will be implemented in two phases, with short-term contracts ending after six months and long-term contracts ceasing from Jan. 1, 2027.
According to a recent report by the International Energy Agency, in the first three quarters of this year, U.S. LNG deliveries to Europe surged by 60 percent year on year, accounting for almost 60 percent of Europe’s total LNG imports, while Russia remained Europe’s second-largest LNG supplier.
