FT HAS BEEN AWARE OF GERMAN AUTHORITIES' ORDER NOT TO ACCEPT LNG FROM RUSSIA

Germany's LNG terminal operator has been banned from accepting supplies from Russia "until further notice" to protect "overriding public interests", the FT reports. The Kremlin has warned this could lead to higher prices for the EU.

Germany's Federal Ministry for Economic Affairs and Climate Protection has "instructed" liquefied natural gas (LNG) terminal operator Deutsche Energy Terminal "not to accept any deliveries" of Russian fuel, the Financial Times (FT) writes, citing a relevant department document dated November 6.

According to the FT, this comes after the company announced on Sunday that it would be shipping Russian LNG to its Brunsbüttel terminal. The ministry called on Deutsche Energy Terminal to “refuse to supply LNG from Russia until further notice” and explained that such measures were necessary to protect “key public interests”. They also stressed that the purpose of establishing the terminals themselves was “independence from Russian gas” for Germany and the EU as a whole.

RBC sent a request to the press services of Yamal LNG and PJSC NOVATEK.

Before the start of the military operation in Ukraine, Germany was the largest importer of Russian gas into the EU. However, Berlin later abandoned the Russian gas pipeline and built a series of LNG terminals to receive maritime supplies of fuel.

Russian authorities have allowed LNG supplies from the Yamal LNG plant to Gazprom’s former German subsidiary, SEFE Markeing & Trading Singapore (Securing Energy for Europe GmbH), until the end of 2040. The FT, citing Kpler data, notes that almost all of SEFE’s shipments go to France, where the LNG is regasified and fed into the European unified gas pipeline system. Deutsche Energy Terminal declined to comment on the publication of the order by the German Federal Ministry for Economic Affairs and Climate Protection. The FT’s own department called Berlin’s refusal to import Russian gas correct and opposed its shipments to German LNG terminals.

The European Commission expects the EU to completely phase out Russian LNG by 2027. Since 2022, the share of Russian fuel in EU imports has fallen from 50 to 20%. The 15th package of EU sanctions is expected to include a large number of restrictions on the ability to buy Russian LNG, Politico wrote, citing sources. The Kremlin has linked attempts to “push Russia out of energy markets” with rising gas prices for European consumers.