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U.S. proposes resuming Russian gas sales via Ukraine

U.S. supports resuming Russian gas sales to Europe via Ukraine amid negotiations for energy ceasefire before winter

U.S. supports resumption of Russian gas sales to Europe through Ukraine for an energy ceasefire before winter, despite European sanctions.Proposed by U.S. envoys during Moscow and Kyiv visits, Russian gas sold via U.S. intermediary could offer American investors opportunities.

Current European law mandates phasing out Russian gas by 2027, and European leaders show no interest in returning reliance on Russian energy.

The plan stalled after Ukraine halted strikes on Russian refineries but resumed air raids, prompting urgent calls for a ceasefire ahead of U.S., Russia, Ukraine talks.

Gas negotiations

U.S. officials see reopening Russian gas to Europe as an incentive for Putin, potentially benefitting Ukraine by using pipelines for transit fees, as earlier reported by Wall Street Journal.

Proposal includes Russia depositing gas sale proceeds into an escrow account to prevent Kremlin from funding war.

Trump’s early administration criticised Europe’s reliance on Russian gas, sanctioning Nord Stream 2, fearing it made Europe captive to Russia.

European resistance to resuming Russian gas purchases is strong, but some officials acknowledge potential benefits of reducing gas prices.

Nord Stream pipelines bypassing Ukraine are damaged; Ukrainian network could restart quickly, but January 2025 shutdown occurred amid war.

Europe now receives 11% of gas from Russia, US LNG supplies 30%, while gas imports come via tankers and TurkStream pipelines.

Iran conflict impacts European energy; Qatari LNG stuck in the Persian Gulf and energy prices rise, challenging the EU’s resistance.

Europe’s gas storage at 75%, below average, faces increased energy costs, particularly amid far-right German opposition’s push for Russian gas imports.

Potentially, Europe might accept gas imports with Kyiv’s backing, provided it prevents humanitarian issues in Ukraine, as air defences dwindle.

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