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Europe's Shift from Russian Gas to Pricey LNG

Europe's Shift from Russian Gas to Pricey LNG

Europe's switch from Russian pipeline…

Canada Sends Repaired Gazprom Turbine To Germany

Canada sent the gas turbine that was being repaired in the country on a July 17 flight to Germany, from where the equipment will need another five to seven days to reach Russia if there are no logistics or customs problems, Russian daily Kommersant reported on Monday, citing sources familiar with the situation.

The turbine has become a major issue in the Russia-Europe row over gas supplies over the past month. Moscow slashed deliveries to Europe in the middle of June, saying that a gas turbine for a Nord Stream compressor station being repaired by Siemens at a facility in Canada could not be returned due to the Western sanctions on Russia. European leaders, including those of Germany and Italy—whose countries are most affected by the slashed Gazprom deliveries—have said that the Russian excuses are “lies” and that the lower gas supply was a politically motivated decision.  

Earlier this month, Canada agreed to return the Gazprom turbine that Siemens Energy sent to a factory in the North American country for repairs. The decision comes after calls from Germany to return the turbine, so, according to German Economy Minister Robert Habeck, Russia has no excuse to keep gas flows along Nord Stream at 40 percent of the pipeline’s capacity.  

The turbine is now in Germany and is expected to be transported via ferry and land onto Helsinki in Finland and into Russia, according to Kommersant’s sources. The turbine is expected to arrive in Russia around July 24, after the two-week regular maintenance on Nord Stream ends on July 21, but could take another three to four days to commission and install. Thus, the turbine is expected to be ready to pump gas in early August, Kommersant reports.

Both Siemens Energy and Gazprom declined to comment for Kommersant on the timeline for the turbine delivery. 

On Saturday, Gazprom said it had formally requested from Siemens to “fulfil its obligations on repair and maintenance of gas turbine engines.” The Russian giant said it expects Siemens Group to “unconditionally fulfil its obligations on the maintenance of the gas turbine engines that are essential for reliable operation of the Nord Stream gas pipeline and natural gas supplies to European customers.”

Gazprom, however, has not yet confirmed it would increase gas flows through Nord Stream as soon as it receives the repaired turbine, Kommersant noted.

By Tsvetana Paraskova for Oilprice.com

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