Replacing Russian supply to Europe ‘almost impossible,’ says Qatar

In the case of an interruption due to a confrontation between Russia and Ukraine, neither Qatar nor any other country has the capacity to replace Russian gas supplies to Europe with liquefied natural gas (LNG), Qatar’s energy minister said on Tuesday.

The amount of divertable volumes that can be delivered to Europe is just 10-15 percent, according to Saad al-Kaabi, because the majority of Qatari volumes are tied into long-term contracts, largely with Asian clients.

As tensions between Russia and Ukraine increased on Tuesday after Moscow sent soldiers into two breakaway regions in eastern Ukraine, Kaabi’s words raised additional fears about Europe’s gas supply security.

“I believe Russia contributes 30-40% of the supply to Europe. There is no single country that can replace that volume, and LNG does not have the potential to do so “At a Doha gas conference, Kaabi told reporters.

“The majority of LNG is tied to long-term contracts with well-defined destinations. As a result, replacing that quantity of volume in such a short period of time is nearly impossible “he stated

Following President Vladimir Putin’s formal recognition of the independence of two areas in eastern Ukraine, the US and its European allies are expected to announce new penalties against Russia. The sanctions may have an impact on Russian gas exports to Europe.

The Nord Stream 2 Baltic Sea gas pipeline project, which was supposed to quadruple the flow of Russian gas direct to Germany, was blocked by Germany on Tuesday. Gas prices rose on Tuesday as a result of the move.

The US has lately urged Qatar and other nations, like as Japan, to redirect gas supplies to Europe in the event that the dispute worsens. find out more

Qatari LNG shipments have been lower in recent days, according to Reuters, due to the failure of two of its mega trains, another cause that could limit the spare amount transported to Europe.

Following requests from the United States and the European Union, Japan announced earlier this month that it will redirect some LNG cargoes to Europe.