US increases LNG supplies to Europe amid war in Ukraine

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The war in Ukraine has changed the direction of energy supplies around the world, and one of the results is that the United States now sends more gas to Europe by sea than Russia by pipeline, the Wall Street reported. Journal, citing CIHI data.

Since 1967, Gazprom pipelines in Western Siberia and the Yamal Peninsula have delivered massive amounts of gas to Europe, but in recent months that precedent has been overturned.

In July, American liquefied natural gas accounted for 13% of total supplies to Europe, compared to 10% for Russian gas pipelines. Pipelines from Norway have been the main source of gas to the continent, while other sources include North African pipelines and LNG supplies from Qatar, as well as domestic production.

Wholesale gas prices in Europe have tripled over the past six months. Gazprom, citing technical problems, has reduced deliveries of Nord Stream 1 natural gas to Germany from 40% to 20%.

The European Commission said 12 member states were seeing a sharp reduction in flows, with several countries completely cut off. This week, Gazprom literally suspended natural gas deliveries to Latvia. Now the continent has started importing more Russian diesel amid a struggle to cut off the country’s other energy supplies.

According to Vortexa, imports of Russian diesel fuel increased by 23% compared to last year. With the war in Ukraine showing no signs of abating and the EU facing a historic energy crisis, the US “stepped in as an emergency energy supplier”.

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