News

7 September 2015

The gas auction of Gazprom Export started

On September 7th, 2015, at 9.00 AM CET (10.00 AM Moscow time) Gazprom Export begins the biddings within the auction for gas supply to Europe. Deputy Chairman of Gazprom’s Management Committee Mr Alexander Medvedev and Gazprom Export’s Director General Ms Elena Burmistrova gave the event a festive start by striking a symbolic bell.

The biddings are to be held through four days, from September 7th to September 10th. The Bidders will be offered altogether 127 lots with the total volume of 3.24 bcm. The gas will be supplied during the Delivery Period Winter 2015/2016 to several delivery points in North-West Europe, at the choice of the potential customers.

“The European gas market changes constantly and, meeting its challenges, we want to test the new form of trading the gas and see what benefits it can bring to seller and buyers”, — said Alexander Medvedev.

This new mechanism of gas sales in Europe will be additional to the system of long-term contracts that provide energy security in Europe.

Background

The auction for 3.2 bcm supplied during the Delivery Period Winter 2015/2016 was announced by Gazprom Export on July 31st, 2015. On August 14th, the Prequalification application process was completed. 39 companies have successfully qualified in the prequalification procedure.
On each day of 7, 8, 9 and 10 September, three rounds of biddings are held. In each round, the Bidders receive information on the number of lots available in the current round, and the minimal price. During 30 minutes the Bidders are expected to provide their offers that include price, desired volume (number of lots) and the product chosen (A, B or C).

Products offered

  • Auction A — 48 lots 60 MWh/h each at the Delivery Point Greifswald NEL with optional for the buyers Delivery Point VP Gaspool for delivery period from the 1st of October 2015 to the 31st of March 2016
  • Auction B — 57 lots 60 MWh/h each at the Delivery Point Olbernhau II with the option for the buyers to purchase entry capacity to the CZ gastransport network from Gazprom Export for delivery period from the 1st of October 2015 to the 31st of March 2016;
  • Auction C — 22 lots 60 MWh/h each at Delivery Point Greifswald OPAL exempted. Adjacent OPAL capacity with the exit point Brandov can be purchased from the Network Operator for delivery period from the 1st of October 2015 to the 31st of March 2016.

 

 

Video

 
 

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