Gazprom finds new clients in Europe

The first gas auction of Gazprom has demonstrated an approach, which the monopoly intends to adhere in the modification of its export strategy. Gazprom has managed to sell about a third of the declared volume at a price higher than in its long-term contracts. Buyers, according to the Kommersant’s information, have mainly become average consumers, rather than long-term partners of Gazprom - the major gas companies in Europe.

During the first export auction this week Gazprom managed to sell about a third of the exposed gas volume. As Gazprom export reported, participants took "more than 1 billion cubic meters" of 3.2 billion cubic meters of the delivery in October 2014 - March 2015. At the same time, Gazprom didn’t change its principle and offered the price higher than in its long-term contracts with the delivery in winter. As the Kommersant wrote on September 8, because of this approach on the first of four days of the trading the monopoly didn’t conclude any transactions. Yesterday, Gazprom export stated that the price of the transactions was higher than as the average prices for the portfolio of long-term contracts in Central and Northern Europe, as the current spot and forward prices at European hubs.