The EU has increased purchases of Russian LNG amid the Middle East crisis

European countries increased imports from Yamal LNG in the first quarter by 17% compared to the same period last year, to 5 million tons, the Financial Times reports , citing Kpler data.

The reason for the increase in Russian purchases was the reduction in LNG supplies from Qatar after Iranian attacks on local energy infrastructure and blocking of the Strait of Hormuz. Against this background, Europe refocused on Yamal LNG, and the jump in prices on world markets resulted in additional income for the project.

According to the environmental non-profit organization Urgewald, in the first quarter, EU countries spent about €2.88 billion on Yamal gas. The average gas price in Europe in March averaged about €52.87 per MWh, compared to €35 per MWh in January and February.

Yamal LNG provides the vast majority of Russian gas supplies to EU countries: they accounted for 69 of the project’s 71 shipments, or 97%, in January-March. A year earlier, this figure was 87% (from 68 flights). The remaining shipments were sent to Asia. But demand there remained subdued before the escalation in the Middle East, which is also partly due to the EU ban on transshipment of Russian LNG at European ports for shipment to third countries.

The FT notes that Brussels, contrary to the situation, does not intend to revise the planned refusal to import Russian LNG from January 2027. Experts believe that the implementation of the initiative could seriously affect the Yamal LNG project, for which the European market remains key.