Nomination to pump gas via Ukraine stays at maximum Tues, wind generation in Europe falls

MOSCOW. March 22 (Interfax) - The utilization of the Ukrainian gas transit corridor remains at a high level on Tuesday, in line with the amount of 40 billion cubic meters per year or 109 million cubic meters per day stipulated in the long-term contract with Gazprom .

European buyers have increased orders for the Russian company's gas after prices soared due to the imposition of sanctions on Russia. The price on the TTF, Europe's main hub, has risen to $1,051 per 1,000 cubic meters, making gas offtake under contracts with Gazprom cheaper than the spot market, as the highest price under these contracts for a month ahead is about $930 in March.

"Gazprom is supplying Russian gas for transit through Ukraine as scheduled, in accordance with the requests of European consumers - 108 million cubic meters on March 22," company spokesman Sergey Kupriyanov told reporters.

The nomination for March 22 is 107.5 mcm, data from Ukraine's Gas Transport System Operator show. The nomination for March 21 was 108.9 mcm.

The Yamal-Europe gas pipeline, which transports gas from Russia through Belarus and Poland to Germany, switched to reverse operation last week and continued to operate in this direction. Gas supplies from Germany to Poland, removing additional gas volume from the main European hubs, are another factor contributing to high gas prices in the European Union.

With the arrival of spring, the weather in Europe is continuing to get warmer. Forecasts indicate that temperatures this week will be on average three degrees warmer than last week.

Wind power contributed 17% to electricity generation across the European Union in the week from March 14 to 20, with a peak of 24.3% on Saturday. But the figure dropped to 13.8% on Monday, and relatively weak winds are expected in the week ahead, which will reduce wind power generation.