Russia Threatens, EU Reduces, US Industry Helps To Untangle The Natural Gas War In Europe.

Russia Threatens, EU Reduces, US Industry Helps To Untangle The Natural Gas War In Europe.

Both oil and gas exported from Russia bring in significant revenue that can be used to support the Russian war in Ukraine. But the export revenue from oil sales is much greater than export revenue from gas sales. If the West stops buying oil this really hurts Russia – more than if the West stopped buying gas. Back in May, the EU agreed to ban all Russian oil imports by the end of 2022, at least those that are delivered by sea. That was a good move. Russia threatens to cut gas supplies to the European Union. Russia has realized that cutting natural gas doesn't affect their export revenue (like oil does) but it affects the economies of EU countries a lot more. Russia supplied the EU with 40% of its gas last year, with Germany, Italy, and Netherlands the top three importers in actual volumes of gas. Germany had imported more than 50% of its gas from Russia via the Nord Stream 1 pipeline. By the end of June, this had fallen to 25%. So for Russia, cutting gas is a powerful economic weapon. The hurt to EU is even greater because the price of natural gas in Europe