Great Britain

The UK is the fourth largest export market for Gazprom Export. Gas supplies to Great Britain began in 2006. Having started with volumes of 260 mcm, Gazprom Group now supplies 16.3 bcm of natural gas per year to the British market (results for 2017).

Gazprom’s main partner on the UK market is Gazprom Marketing & Trading (hereafter referred to as GM& T). GM& T’s main fields of activity include gas, power, oil and oil products trading on European trade platforms, gas and power retail business in the UK, France, Germany and the Netherlands, development of LNG trade on the Atlantic and Pacific markets.

Together with Russian gas, GM& T’s portfolio also includes gas from other producers. For instance, GM& T has a contract with Ørsted (Denmark) for purchasing natural gas from the Ormen Lange field in the North Sea. GM& T also buys significant volumes of gas directly in the market.

To enhance the reliability and flexibility of gas supply to Britain, the company is using the Interconnector pipeline capacities, of 2 bcm per year of forward flow (toward Europe) and 6 bcm per year of reverse flow (toward Britain). Another step to improve reliability and optimize supply involves gas swap deals. That helps lower transmission costs. GM& T has also participated in swap operations for exchanging pipeline gas for LNG.