Imports of Russian Liquefied Natural Gas (LNG) into Europe increased by 12% last year, despite a raft of sanctions imposed on Russia due to the war in Ukraine, according to new research.
The research, published by the Institute for Energy Economics and Financial Analysis, also found that EU imports of Russian LNG increased by 18% in 2024.
Spot trades, which refer to the purchase or sale of a foreign currency, financial instrument or commodity for instant delivery, accounted for one third of the deliveries.
France, Spain and Belgium were the continent’s top buyers of Russian LNG last year, accounting for 85% of Europe’s imports. While Spain and Belgium slightly decreased their imports of Russian LNG, France and the Netherlands both increased theirs by 81%.
On the whole, Europe’s LNG imports fell by 19% in 2024 while the U.S. remains the EU’s main supplier despite seeing a drop in supply levels.
While the EU has sought to impose sanctions on Russia since the start of Moscow’s invasion of Ukraine almost three years ago, it has fallen short on a ban on gas from the fuel-rich country.
As part of a new sanctions package, which will come into effect next month, the EU agreed to a ban on transshipments of Russian LNG in which cargoes from one ship are transferred to another via EU ports.
New restrictions will also prohibit new investments and services to complete LNG projects under construction in Russia.
Gas market experts say the measure will likely have little impact as Europe still buys Russian gas itself and transshipments via EU ports to Asia represent only around 10% of total Russian LNG exports.
An EU official said the estimated hit on Russia was in the millions of euros rather than billions.
Spot trades, which refer to the purchase or sale of a foreign currency, financial instrument or commodity for instant delivery, accounted for one third of the deliveries.
France, Spain and Belgium were the continent’s top buyers of Russian LNG last year, accounting for 85% of Europe’s imports. While Spain and Belgium slightly decreased their imports of Russian LNG, France and the Netherlands both increased theirs by 81%.
On the whole, Europe’s LNG imports fell by 19% in 2024 while the U.S. remains the EU’s main supplier despite seeing a drop in supply levels.
While the EU has sought to impose sanctions on Russia since the start of Moscow’s invasion of Ukraine almost three years ago, it has fallen short on a ban on gas from the fuel-rich country.
As part of a new sanctions package, which will come into effect next month, the EU agreed to a ban on transshipments of Russian LNG in which cargoes from one ship are transferred to another via EU ports.
New restrictions will also prohibit new investments and services to complete LNG projects under construction in Russia.
Gas market experts say the measure will likely have little impact as Europe still buys Russian gas itself and transshipments via EU ports to Asia represent only around 10% of total Russian LNG exports.
An EU official said the estimated hit on Russia was in the millions of euros rather than billions.
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