Gazprom fell in price after the European Parliament resolution against Nord Stream 2

Gazprom shares are falling after the European Parliament adopted a resolution on Wednesday calling for the construction of the Nord Stream 2 gas pipeline to be stopped, calling it a "political project" and a threat to Europe's energy security. A similar document was previously approved by the House of Representatives of the US Congress, demanding that Donald Trump impose sanctions against Nord Stream 2.

More. On Wednesday, after the publication of these documents, Gazprom's capitalization on the Moscow Exchange fell by 1.8%. slightly At the opening of trading on Thursday, quotes fell by another 1.6%, but subsequently corrected - as of 13:30 Moscow time, the fall by yesterday's close was about 1%, capitalization - 3.67 trillion rubles.

Project. The purpose of the construction of Nord Stream 2 is to supply Russian gas to Europe, bypassing the territory of Ukraine. The gas pipeline consists of two lines from the coast of Russia through the Baltic Sea to Germany. The total cost of the project is estimated at €9.5 billion. Germany, Finland and Sweden gave permission for the construction of the gas pipeline, it remains to receive it from Denmark. Apart from Gazprom, the European companies Engie, OMV, Shell, BASF and Uniper are participating in the consortium for the construction of the gas pipeline. The leadership of the German concern Uniper and the French Engie previously warned that the companies would refuse to participate in the project in the event of US sanctions.

Context. The United States has repeatedly threatened the participants in the project with sanctions, for some time this scenario was even considered the main one in the Donald Trump administration, and on July 19, one of the senators submitted a corresponding bill to Congress. The main defender of the project in Europe is Angela Merkel. Vladimir Putin stated that the United States is opposing the project because they want to replace Russia as a gas supplier to Europe and support Ukraine, which is a transit country for Russian gas.

Artem Gubenko