Moscow May 20 2022: Finland’s Gasum said May 20 its Russian gas imports would be halted on May 21 at 07:00 local time after it refused to comply with new payment terms demanded by Gazprom Export.
In a statement, Gasum said it would supply its customers with gas imported via the Balticconnector with Estonia instead.
“On the afternoon of May 20, Gazprom Export informed Gasum that gas supplies to Finland under Gasum’s supply contract will be cut on Saturday, May 21, at 07:00,” it said.
“Starting from tomorrow, during the upcoming summer season, Gasum will supply gas to its customers from other sources through the Balticconnector pipeline,” it said.
Gasum had warned earlier this week that a shutdown was likely, and European gas prices were unmoved by the cut-off announcement.
TTF month-ahead prices were still trading at around Eur90/MWh following the news, unchanged on the day.
Gasum has a long-term import contract with Gazprom Export that was due to run until 2031. Under the contract, payments were made in euros.
“It is highly regrettable that gas supplies under our supply contract will now be halted,” Gasum CEO Mika Wiljanen said.
“However, we have been carefully preparing for this situation and provided that there will be no disruptions in the gas transmission network, we will be able to supply all our customers with gas in the coming months.”
