November 23, 2024
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The US may block the only way to pay for Russian gas for Europe – Reuters

The US may block Europe’s only way of paying for Russian gas – ReutersNew US sanctions against Gazprombank could prevent EU payments for Russian gas until the end of 2024. The sanctions include a blackout period until December 20 and limit energy transactions through the US financial system.”, — write on: unn.ua

New US sanctions against Moscow could close the only way for European buyers to pay for Russian gas, increase instability in the Russian currency market and bring the Kremlin closer to Beijing, writes Reuters, reports UNN.

Washington imposed new sanctions on Russia’s Gazprombank on Thursday, barring the state-controlled lender from any new energy-related transactions that affect the US financial system. About 50 other Russian banks have also been sanctioned by the US for allegedly transferring financial information to the Russian bank.

Hungary and Slovakia, which have long-term contracts with Russia’s Gazprom, are studying the changes, Reuters notes.

Russian Deputy Energy Minister Pavlo Sorokin declined to comment when asked whether Gazprombank would continue to receive payments from European customers.

“The EU’s payments for energy resources through Gazprombank will most likely become impossible at the end of 2024,” analysts of the investment bank “Sinara” believe.

Hungary and Gazprom are discussing increasing gas supplies for 2025October 15 2024, 06:59 • 6216 views

The sanctions provide for a period of curtailment of operations involving Gazprombank until December 20, and operations related to the Sakhalin-2 oil and gas project in the Far East of Russia until June 28, 2025.

On Friday, the Kremlin said that the sanctions are an attempt by Washington to prevent the export of Russian gas, but a solution will be found. Gazprombank said the sanctions would not affect its banking operations, but did not respond to questions about the gas payment decision.

In March 2022, Moscow demanded that countries hostile to Russia pay for the supply of gas according to a scheme that involves the conversion of currency into rubles. Buyers could open two accounts in Gazprombank – a ruble account and a currency account.

The US allowed a dozen Russian financial institutions to conduct energy-related transactions with some exceptions until April 30, 2025. Some analysts believe that Gazprombank can be added to this list.

EU foreign ministers in Warsaw: Strengthening support for Ukraine and sanctions against the Russian Federation remain prioritiesNovember 19 2024, 21:14 • 50566 views

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