• 4 minutes England Running Out of Water?
  • 7 minutes Trump to Make Allies Pay More to Host US Bases
  • 10 minutes U.S. Shale Output may Start Dropping Next Year
  • 14 minutes Washington Eyes Crackdown On OPEC
  • 2 hours Tidal Power Closer to Commercialisation
  • 2 hours US-backed coup in Venezuela not so smooth
  • 7 hours Why U.S. Growers Are Betting The Farm On Soybeans Amid China Trade War
  • 21 mins Oil-sands recovery by solvents has started on a trial basis; first loads now shipped.
  • 6 hours Read: OPEC THREATENED TO KILL US SHALE
  • 1 day BATTLE ROYALE: Law of "Supply and Demand". vs. OPEC/Saudi Oil Cartel
  • 14 hours Fisker Announces 'Mass Market' Electric SUV
  • 30 mins New Rebate For EVs in Canada
  • 48 mins Solar to Become World's Largest Power Source by 2050
  • 3 hours Biomass, Ethanol No Longer Green
  • 2 hours Malaysia Oil & Gas Updates
  • 1 day Trump Tariffs On China Working
Trade Tensions Are Keeping A Lid On Oil Prices

Trade Tensions Are Keeping A Lid On Oil Prices

Many crude market analysts are…

Oilfield Services Might Not Fully Recover Till 2025

Oilfield Services Might Not Fully Recover Till 2025

The global oilfield service sector’s…

Tsvetana Paraskova

Tsvetana Paraskova

Tsvetana is a writer for the U.S.-based Divergente LLC consulting firm with over a decade of experience writing for news outlets such as iNVEZZ and…

More Info

Gazprom Considers Moving EU Trading Arm Out Of UK Post-Brexit

Gazprom

Russia’s gas giant Gazprom is reviewing how a potential ‘hard’ Brexit would impact its EU gas trading business which is currently carrying out in London, and whether it would affect its preferential access to the EU gas market, the Financial Times reported on Tuesday, citing two people familiar with a Gazprom review of its UK operations.

Following the triggering of Article 50 last week, with which the UK formally notified the EU of its intention to leave the bloc, politicians on both sides of the English Channel have signaled that negotiations would be difficult and the UK may leave the EU in two years without any preferential trade deal, in the so-called ‘hard Brexit’. Fears over losing preferential access to the EU market are top concerns for many banks and financial institutions that are already mulling over the possibility of relocating out of London to Paris or Frankfurt.

Now, according to FT, Gazprom is also reportedly concerned with losing its preferential access to its biggest export market, the EU gas market.

“Running our European trading operations out of London is not advantageous any longer,” one of FT’s sources said.

Gazprom Marketing & Trading (GM&T) has been operating from London since it was set up as a Gazprom unit in 1999. GM&T is running all European natural gas and LNG operations from London, according to FT.

Related: Russia Reaches 2/3 Of Oil Output Cut Target

The deputy head of Gazprom’s management committee, Alexander Medvedev, said in a statement, as carried by Belfast Telegraph:

The operations of Gazprom’s London-based unit Gazprom Marketing and Trading are not affected by Brexit. GM&T operates worldwide, and focuses on trading, LNG and UK retail, while European business is mostly covered by the long-term contracts of Russian-based Gazprom Export.”

A couple of months ago, Medvedev said that Gazprom’s market share in Europe rose from 31 percent to 34 percent two years ago, and it is not about to change much in the coming years. In fact, he predicted that Gazprom’s share in Europe will rise further to 35 percent.

By Tsvetana Paraskova for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage

Leave a comment

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News