Iran Energy News Oil, Gas, Petrochemical and Energy Field Specialized Channel
Related Articles
The U.S. and its European allies have approached several major natural-gas importers in Asia, including China, about sending their fuel to Europe if a conflict over Ukraine erupts, according to people familiar with the matter.
President Joe Biden’s administration has spoken to officials in Japan, South Korea and India as well as Beijing, said the people. The engagement with China has been limited, two of the people said.
The U.S. is trying to ensure Europe doesn’t run short of energy should Russia invade Ukraine, something President Vladimir Putin has repeatedly denied he’s planning. European and U.S. officials are concerned Moscow may react to any additional sanctions against it in the event of a war by reducing gas flows to Europe, which gets around 40% of its supplies from Russia.
The White House also is talking to gas producers to see if they can increase output in an emergency. They include Qatar, Nigeria, Egypt and Libya, said the people.
Unlike with oil, the global gas market has little spare capacity and no producer has said it can pump much more at short notice. The energy minister of Qatar, one of the world’s largest exporters of liquefied natural gas, said the volumes Europe would need cannot be provided by any one country.
European Union officials have said they’re discussing possible swaps of long-term gas contracts with Asian countries.
Calls to China’s National Energy Administration and National Development and Reform Commission were not answered during holiday hours. South Korea’s Ministry of Trade, Industry and Energy and Japan’s Ministry of Economy, Trade and Industry weren’t immediately available for comment.
India’s energy ministry also didn’t immediately respond to a request for comment. India’s state gas utility GAIL often sells its U.S. shipments to European importers and can expedite the process in an emergency, according to a person with knowledge of the matter.
The energy ministries of Nigeria, Egypt and Libya didn’t immediately respond to requests for comment.
