European gas prices spiked in late trade April 26 after reports in the Polish media that Russia’s Gazprom had suspended gas supplies to Poland.
The TTF month-ahead price jumped 18% on the news to /MWh by 1500 GMT, according to ICE data.
Polish media outlet Onet reported that Russia had suspended supplies to Poland delivered under the long-term Yamal contract between Gazprom and PGNiG.
It said the suspension had been confirmed by sources in the Polish government and PGNiG.
None of PGNiG, the climate ministry or Gazprom Export could be reached for comment April 26.
PGNiG imports Russian gas under a long-term import contract due to expire at the end of 2022 and officials have repeatedly said they would not extend it.
Last year, PGNiG imported 9.9 Bcm of Russian gas, meeting around 63% of demand.
Poland will be able to replace Russian gas imports with Norwegian gas once the 10 /year Baltic Pipe pipeline connecting the Polish, Danish and Norwegian gas networks comes online in October.
Ruble payments
Earlier April 26, Polish energy adviser Piotr Naimski reportedly said PGNiG would not comply with a Russian request to pay for gas in rubles.
PGNiG on April 25 had declined to give details of its contractual arrangements with Gazprom regarding the Russian request for payment for gas supply in rubles.
“PGNiG fully performs its obligations under the Yamal contract,” it said in comments to S&P Global Commodity Insights.
“The detailed provisions of the contract, including the payment method, as well as the details of the correspondence between the parties, are confidential, therefore PGNiG does not provide information in this respect.”
Earlier April 26, Poland’s interior ministry implemented restrictive measures impacting the stake held by Gazprom in EuroPolGaz — the owner of Poland’s part of the Yamal-Europe gas pipeline — including a freeze on funds related to the stake.
According to a new sanctions list dated April 25, the ministry said it would freeze funds related to dividends payable to Gazprom from its EuroPolGaz stake and “other income” generated by the asset.
That, it said, was in response to Russia’s invasion of Ukraine on Feb. 24.
Gazprom has a 48% stake in EuroPolGaz, with Poland’s state-controlled PGNiG holding 48% and Gas-Trading SA the remaining 4%.
EuroPolGaz owns the 684-km Polish part of the Yamal-Europe gas pipeline, which traditionally carries Russian gas to Germany.
However, Russian flows into Mallnow on the Poland-Germany border via the Yamal-Europe line have been erratic since late 2021 and flowing mostly at zero, with reverse flow more regular.
