The European Union is putting pressure on the United States to explore ways to ease American sanctions against Russiaʼs “Gazprombank”, as the bank plays a key role in ensuring the flow of Russian natural gas to the bloc.
Bloomberg writes about it.
Discussions continue even after Russian leader Vladimir Putin canceled the requirement that foreign buyers use only this bank when buying Russian gas.
The EU and the US are discussing the type and scope of mitigation measures after some European governments and companies warned that the sanctions would pose a risk to security of supply in the region.
Among the options being considered at the negotiations is whether it is possible to legally make payments through “Gazprombank” Luxembourg subsidiary, or whether it is better to use other payment channels.
- Under pressure from Europe, which faced an acute shortage of gas after the invasion of Ukraine, the US previously refrained from imposing sanctions on “Gazprombank”. Sanctions against the bank were introduced only in November of this year. Meanwhile, the EU has been working to increase alternative supplies, including liquefied natural gas (LNG) from the US.
- The share of Russian pipeline gas in EU imports fell from over 40% in 2021 to around 8% last year. For pipeline gas and LNG combined, Russia accounted for less than 15% of imports. It yielded to Norway, which became the main supplier of the block with a share of 30%, and the USA, which provided 19% of European gas.
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