May 22, 2022

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Major gas deal: US to supply 15 billion cubic meters to Europe this year

Major gas deal: US to supply 15 billion cubic meters to Europe this year

According to sources against the Financial Times, the Americans are providing the final details of the plan in Brussels.

Europe consumes more than 400 billion cubic meters of gas annually and imports 350 billion, of which 45 percent comes from Russia. Europe wants to reduce its dependence on Russian gas by two-thirds this year and then eliminate it altogether. A total of 50 billion m3 of gas will then be converted.

US President Joe Biden and European Commission President Ursula van der Leyen are expected to announce the deal on Friday morning. By comparison: Dutch ocean gas fields can supply 6 billion cubic meters of gas in a short period of time. This is approximately the amount the Netherlands buys from Russia.

European member states do not dare to expel Russian gas too soon. Eastern European countries in particular will be hard hit. German Chancellor Olaf Scholes has warned of an immediate ban on all fossil fuels, which could lead to a recession in Europe’s largest economy.

So as part of Germany’s sanctions, it stuck to a sharp cut in gas this year.

In addition to consulting on LNG distribution to the United States, Europe is also consulting with representatives in Qatar and Egypt.

The deal with the Americans is significant: the bulk of LNG exports to the US are already booked, especially to countries in Asia.

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