European traders have managed to earn about $320 million by storing gas in Ukraine's underground gas storage facilities. The Economist writes about this, UNN reports.
Details
The publication explained that European traders bought gas in the summer at reduced prices, so they needed to find a place to store it. Since the underground storage facilities in the EU are full and storage in tankers is too expensive, the choice fell on Ukraine.
European traders sent 3 billion cubic meters of gas to Ukraine's underground storage facilities. Initially, this idea seemed risky, but by June, the difference between summer and winter prices had widened so much that the gamble seemed justified.
In addition, international companies have received assurances that gas will not be requisitioned under martial law and a generous customs regime for short-term storage.
"This has helped to preserve EU stocks through this winter, reducing gas prices across the continent. It also provided significant profits for the companies involved. Acos Losch of Columbia University estimates that traders have made up to 300 million euros ($320 million - ed.)
Addendum
The Economist notes that this experience looks like a test for Europe's future energy strategy. According to the newspaper, traders are ready to repeat last year's experience this spring, but on a larger scale and starting from an earlier date.
The journalists emphasize that the deeper Ukrainian leaders are able to integrate their country's energy sector into the European market, the more the EU will invest in the country's defense.
It is also noted that Ukraine has the largest gas storage facilities in Europe, with a capacity of more than 30 billion cubic meters, of which about 15 billion cubic meters can be offered to European partners.
Recall
The EU Commissioner for Energy has informed Ukraine that the EU is not interested in extending the gas transit contract with Russia and is focused on supporting Ukraine and reducing its dependence on Russian gas.
ЄС готується виключити угоду з рф щодо транзиту газу через Україну - Bloomberg26.01.24, 17:19