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Russia stops gas sales to Denmark

AFP
AFP - [email protected]
Russia stops gas sales to Denmark
Danish energy company Ørsted said it had been told by Russian state gas company Gazprom that supplies to Denmark would be cut from June 1st. File photo: Mads Claus Rasmussen/Ritzau Scanpix

Danish energy company Ørsted said that Russian gas company Gazprom Export would cut gas supplies to Denmark from June 1st after the Danish company refused to pay in rubles.

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In a statement late on Tuesday, Ørsted said Gazprom Export had informed it that its gas supply would be halted at 6am.

The Danish company had anticipated the move and had previously said it was filling up its storage facilities in Denmark and Germany to secure gas supplies to their customers.

"Since there is no gas pipeline going directly from Russia to Denmark, Russia will not be able to directly cut off the gas supplies to Denmark, and it will thus still be possible for Denmark to get gas," Ørsted said in Tuesday's statement.

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"However, this means that the gas for Denmark must, to a larger extent, be purchased on the European gas market,"

"We expect this to be possible," it said.

Russia has said it will only accept payment for natural gas deliveries in its national currency, with buyers required to set up ruble accounts or have their taps turned off.

The measure came in response to a litany of international sanctions on Moscow after it invaded Ukraine on February 24th.

On May 21st, Russia halted supplies to its neighbour Finland -- which has angered Moscow by seeking NATO membership -- after energy group Gasum also refused to pay in rubles.

Moscow had already cut off Poland and Bulgaria.

And on Tuesday, the partly state-owned Dutch energy firm GasTerra said Gazprom had suspended its gas supplies for the same reason.

READ ALSO: Danish consumers ‘should get used to’ high petrol costs after EU’s Russian oil decision

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