The deep crisis in external gas markets in the aftermath of the pandemic coronavirus, twice reduced the export earnings of “Gazprom” in January—June 2020, to $11.3 billion in Addition to the sharp decline in prices, the results also influenced the reduction in physical volumes of exports by 17.8% to 91 billion cubic meters. The share of Gazprom on European markets continued to decline: in the first five months it was 31%. However, according to analysts, with the onset of the heating season, have a chance to reduce the fall in sales for the year.The income of “Gazprom” on gas exports in January—June fell year-on-year by 51% to $11.3 billion, follows from the materials of the Federal customs service (FCS). This is due to the decrease in physical exports in the first half — year by 17.8% to 91.1 billion cubic meters, and falling prices for major export markets. FCS takes into account both exports to foreign countries and shipments to the CIS (primary market — Europe).From service data shows that the average price of gas export “Gazprom” in June fell to $82 per 1 thousand cubic meters, which is twice lower than January, when it was at $162. In may it was $94 for 1 thousand cubic meters. Thus, for the second straight month of gas “Gazprom” is trading below the breakeven level, which roughly is about $100 per 1 thousand cubic meters.So, gas prices at the Netherlands TTF hub (are the benchmark for continental Europe) in August rose to $85 per 1 thousand cubic meters, while in June they amounted to about $57 per 1 thousand cubic meters.As recalled by Maria Belova from Vygon Consulting, with the beginning of the heating season, the level of gas extraction traditionally increases. Given the fact that gas prices continue to decline, reflecting the spring and the fall in oil prices, Gazprom has a chance to increase supplies to Europe in the second half, she says, waiting for lower exports to the far abroad for the year at 30 billion cubic meters of relatively 2019 (199,2 billion cubic meters). According to analysts, the share of Gazprom on the European gas market, in January—may 2020 fell 3 percentage points to 31%.Tatiana Woodpecker
