(Reuters) -Ukraine’s gasoline transit operator stated Russia had not nominated any gasoline flows for Jan. 1 via the Ukrainian pipeline to Europe as of 1500 GMT on Tuesday, hours forward of the expiration of a five-year contract between Gazprom (MCX:) and Ukraine’s Naftogaz.
Regardless of being at warfare with Russia, Ukraine nonetheless transited Russian gasoline to Europe via pipes on its territory underneath the phrases of a deal signed in December 2019.
Ukraine has repeatedly stated it won’t signal a brand new deal to switch the one expiring on Dec. 31 as a result of Russia’s full-scale invasion of its territory, now approaching its third yr.
2025 might show to be the primary yr for the reason that collapse of the Soviet Union in 1991 when no gasoline will likely be transported via Ukraine to Europe.
Russia used to provide a little bit underneath half of the European Union’s gasoline earlier than the 2022 warfare. However Europe has turned away from Russian gasoline whereas as but unexplained assaults on the Nord Stream pipeline have diminished Russian provides.
Russia provided a complete of round 63.8 billion cubic meters (bcm) of gasoline to Europe by varied routes in 2022, in keeping with Gazprom information and Reuters calculations.
That quantity decreased by 55.6% to twenty-eight.3 bcm final yr. In 2024 transit might complete lower than 14 bcm of gasoline.
At their peak in 2018-2019, annual flows to the European area reached between 175 bcm and 180 bcm.
In pre-war years Ukraine obtained a number of billion {dollars} a yr from transit, however in 2024 the funds might drop to about $800 million as a result of a big discount in pumping volumes.
The Soviet-era Urengoy-Pomary-Uzhgorod pipeline brings gasoline from western Siberia through Sudzha in Russia’s Kursk area. It then flows via Ukraine within the route of Slovakia.
In Slovakia, the gasoline pipeline is split, with one of many branches going to the Czech Republic and the opposite to Austria. The principle consumers of gasoline are Hungary, Slovakia and Austria.
