Eastward Gas Flows Increase Along Yamal Pipeline, But Westward Demands Emerge | Money


A worker checks the pipes of a gas compressor station on the Yamal-Europe gas pipeline near Nesvizh, some 130 km southwest of Minsk, December 29, 2006. – Photo Reuters

MOSCOW, January 1 – Flows along the Yamal-Europe pipeline that carries Russian gas westward to Europe remained reversed for a 12th day and increased today, but demands for westerly deliveries suggest that the unusual reversal may soon end.

The pipeline supplies about one sixth of the gas that Russia sends to Europe and Turkey each year.

Gas was flowing east from Germany to Poland at a high rate at the start of the day, with data at the Mallnow metering point at the border showing an hourly volume of over 5.2 million kilowatt hours ( kWh / h) against around 1.2 million kWh / h in the previous 24 hours.

But yesterday, westward gas demands emerged via Mallnow for Jan. 1 at 8.3 million kWh / h and today stood at over 6 million kWh / h, according to data from the German network operator Gascade.

Russian gas exporter Gazprom did not reserve gas transit capacity on the pipeline for Saturday, according to auction results.

Gazprom reserved 8.3 million kWh / h of gas transit capacity through the pipeline for January at an auction last month.

The reversal of flows that began on December 21 pushed already high European gas prices to record levels.

These high spot prices and traders using their annual volumes of gas under contract with Gazprom quickly prompted sellers in Germany, for example, to tap the storage to sell to buyers in Poland, causing an unusual reversal of flows, according to reports. analysts and industry sources.

Meanwhile, Russian gas flows from Ukraine to Slovakia via the Velke Kapusany border point, another major route, fell to their lowest volume since November 2.

Capacity nominations for Saturday fell to 524,631 megawatt hours (MWh) from 887,094 MWh on Friday, according to data from Slovakian pipeline operator Eustream. – Reuters

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