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16Jun22

Nord Stream Can Stall Completely in the Event of New Turbine Problems, Russian UN Envoy Says

The pipeline, which supplies a significant proportion of the natural gas imported by Germany, reduced its output to just 60% after its operator failed to receive one of the turbines that pump the gas from maintenance in Canada due to anti-Russia sanctions. The warnings of a further reduction in the capacity prompted a 25% spike in EU gas prices.

Further problems with the repair and maintenance of turbines that pump the gas flowing through the Nord Stream pipeline could bring a halt to its operation, Russia's Permanent UN Ambassador Vladimir Chizhov has warned in his speech at the St. Petersburg International Economic Forum (SPIEF).

Such scenario would be a disaster for Germany, which significantly depends on gas supplies from this pipeline, Chizhov added.

"We should ask [the turbine's manufacturer] Siemens, why the turbines must undergo maintenance in Canada. […] I don't want to give any advice, but I think they could have learnt by now how to repair [turbines] themselves", Chizhov said.

The UN envoy further called EU plans for a seventh sanctions package against Russia a "strategic mistake". He added that Russia will start dealing with its consequences once the sanctions package is adopted.

The anti-Russia sanctions are the reason why German giant Siemens can't return Russia's Nord Stream turbines, which had be sent to Canada for maintenance. Siemens said that it was looking into ways to solve the problem.

While the German company is looking for a solution, the Russian company Gazprom announced on 14 June that Nord Stream's output capacity had fallen to 60% due to an inability to retrieve the turbine which had undergone maintenance. Its output dropped to 100 million cubic metres versus 167 million per day at peak. The company warned that it would be further reduced on 16 June to 67 million cubic metres per day for the same reason.

On the news of a further reduction in Nord Stream output capacities, the price of gas in Europe jumped 25% in one day (15 June) exceeding $1,300 per thousand cubic metres. On the trading day's opening the price was up 2% compared to around $1,069 per thousand cubic metres as of the close of the previous day's trading.

[Source: By Tim Korso, Sputnik, Moscow, 16Jun22]
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