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No Short Term EU Plan to Ban Russian LNG

LNG

The EU has no immediate plans to ban Russian LNG despite soaring imports according to Spain's energy minister amid fears of another price spike.

  • "I guess sooner than later if things do not change in Russia and Ukraine, this (a ban) will take place. But for the time being, after the turmoil last year, the European Commission and member states want to see how things evolve in a peaceful manner to avoid additional turbulence," Ribera said.
  • Imports of Russian LNG to Europe are up 40% in Jan to Jul compared with the same period in 2021. Spain has become the second largest buyer of Russian LNG globally.
  • The flows show no signs of slowing despite EU aims to stop using Russian fossil fuels by 2027.
  • The Spanish government has found no legal basis for a ban on Russian LNG without an agreed EU position because it is external trade.
  • "I don't like it. I know because of the infrastructure we have, what we are witnessing is new players in the LNG market transporting and storing this (Russian LNG) in our facilities to be able to re-export whenever," Ribera said.

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