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“Gazprom” replaces the Suez Canal to supply gas to “Asia”

April 24, 2024

Russian giant Gazprom sent the first shipment of liquefied natural gas this year to Asia from the Portovaya LNG terminal on the Baltic Sea, via a route that passes around the southern tip of the African continent instead of the Suez Canal, according to data from the London Stock Exchange.

The LNG tanker "Pesco" carries the cargo, which departed from Portovaya on April 8, and is currently located off the coast of the Republic of the Congo in West Africa, while its final destination is still unknown.

The move comes as daily natural gas supplies from Gazprom to Europe in March rose by 4.5% compared to February, and up 26% year-on-year.

During the past year, Gazprom sent 3 shipments of liquefied natural gas from Portovaya to Asia, all of which were headed to China. Two of them crossed the Suez Canal, while the third took the Northern Sea Route to the North Pole.

This shift in shipping routes is a common phenomenon among fuel producers, including Russia, who have had to reroute their shipments bound for Asia to avoid Houthi attacks in the Red Sea, even though the Suez Canal represents the shortest sea route between Europe and Asia.

Historically, the Suez Canal has been the preferred route for Gazprom's LNG exports to Asia during the winter, when the Northern Sea Route becomes blocked by ice.

Since January, Russian gas shipments from Novatek's Yamal LNG plant to Asia have been rerouted to pass through Africa; To avoid crossing trouble areas in the Red Sea.