Gas Prices in Europe Shift After Gazprom's Announcement

Gas prices in Europe have changed following Gazprom's announcement regarding plans to supply 5.6 billion cubic meters of gas through the Nord Stream 2 pipeline this year. To reach that figure, the pipeline's operation must commence no later than October.

Currently, gas prices in Europe have decreased to $480 per 1,000 cubic meters. This was reported by TASS, citing data from the London ICE exchange. Later, the price of gas slightly decreased and rose to just over $490 per 1,000 cubic meters, marking an overall price decline of 9.4% within one day.

The Nord Stream 2 project involves the construction of two pipeline lines from Russia to Germany across the Baltic Sea. The total capacity of the pipes is designed for 55 billion cubic meters of gas per year. In early June, President Vladimir Putin announced the completion of the first line's installation. Matthias Warnig, CEO of Nord Stream 2 AG, stated to the German newspaper Handelsblatt that the construction work is expected to be completed by the end of August, and the pipeline is planned to be operational this year.

The United States has opposed the construction of Nord Stream 2, imposing sanctions against companies and insurers involved in its construction. Washington considers the pipeline a threat to Europe's energy security. Russia denies these allegations, labeling the project as solely a commercial endeavor.