Moscow Mulls Allowing Rosneft To Export Gas To Europe On Trial Basis - Reports

Moscow Mulls Allowing Rosneft to Export Gas to Europe on Trial Basis - Reports

The Russian government is considering giving national oil company Rosneft a go ahead to test run the export of 10 billion cubic meters (353 billion cubic feet) of natural gas to Europe as part of an agency arrangement with Gazprom, Russia's Kommersant newspaper reported on Tuesday, citing a draft report by Deputy Prime Minister Alexander Novak to President Vladimir Putin

MOSCOW (UrduPoint News / Sputnik - 21st September, 2021) The Russian government is considering giving national oil company Rosneft a go ahead to test run the export of 10 billion cubic meters (353 billion cubic feet) of natural gas to Europe as part of an agency arrangement with Gazprom, Russia's Kommersant newspaper reported on Tuesday, citing a draft report by Deputy Prime Minister Alexander Novak to President Vladimir Putin.

Novak proposed that the Ministry of Energy should consider the option of Rosneft delivering gas to Europe via the Nord Stream 2 pipeline, as well as analyze, along with the Ministry of Finance, the possibility of amending the country's fiscal code to link severance taxes on gas exported by Rosneft with spot prices in Europe, the newspaper said.

Since Gazprom and Rosneft have failed to present a common position on the matter, the final decision will be made by the president, Kommersant added.

While Rosneft believes that the gas supply will benefit the national budget, as about 210 billion rubles ($2.86 billion) will be paid in taxes, given a spike in gas prices in Europe, Gazprom said that the upward trend in prices would hardly persist.