Finland’s Gasum to Halt Russian LNG Purchases on July 26 After EU Sanctions

Finland’s Gasum will halt purchases and imports of Russian LNG on July 26 following the latest EU sanctions approved on Monday, according to a company statement

• The latest EU sanctions include a prohibition to import Russian LNG through EU terminals that are not connected to the EU gas network. The prohibition comes into force July 26.

• The EU sanctions don’t allow Gasum to terminate its Gazprom agreement “but constitute a force majeure on the purchase or import of Russian LNG to off-grid terminals.”
• Gasum has a long-term take-or-pay LNG delivery contract with Gazprom Export from Novatek’s Cryogas-Vysotsk project in the Baltic Sea.
• Finland hopes to enforce a ban on Russian LNG in spring 2025 after proposing legislation this winter, according to ICIS citing Finland’s government earlier this month.
• Finland’s Inkoo LNG import terminal already effectively bans Russian LNG due to the terminal’s rules of operation, but Russian LNG is still imported under long-term agreements at the small Pori and Tornio terminals which are not connected to Finland’s gas grid.