This week has set new gas price records in Europe. Due to the reduction in Russian gas supplies, its cost in Europe has more than doubled.
One of the additional reasons for the cut in gas supplies, which experts say, was a fire at one of Gazprom's plants in Novy Urengoy. This is the most important production region of the Russian Federation and the beginning of the Yamal-Europe gas pipeline.
Gas prices in Europe set new records
After the incident at the plant, supplies of Russian gas supplied to Germany via the Yamal-Europe pipeline through Belarus and Poland have significantly decreased.
Another reason for the increase in gas prices in Europe, in addition to the shortage of supplies from Russia, was the actively growing demand for gas from Asian countries. Problems with gas production in the North Sea create additional complications. All this has led to the fact that the reserves are at their lowest level over the past ten years.
Gas prices in Holland increased by 3.5%, to a record high of 44.65 euros per megawatt hour. Gas futures in the UK rose 2.3% to 111 pence a term. This is a record level over the past 16 years. Most traders predict a further rise in gas prices.
On the European forward market, the cost of 1 thousand cubic meters. m of gas exceeded the $ 400 mark in early July, and by the end of the month exceeded $ 500. In early August, the price increased to $ 540 after it became known about the incident at the Gazprom plant.