European Gas Surges as Germany Clashes With Russia Over Supply

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European natural gas prices jumped as some shipments from Russia were disrupted, and Germany said Moscow was using energy as a weapon in an escalating clash over supply, Bloomberg News reported. The benchmark contract surged 14% as flows from Russia via Ukraine fell further Thursday following interruptions at a cross-border entry point as a result of the war. It adds to the market’s concerns, as Moscow retaliates to Europe’s penalties with a slew of its own curbs targeting some gas companies in the region. Late Wednesday, Russia sanctioned the owner of the Polish part of the Yamal-Europe pipeline that’s hardly been deployed this year but is a key alternative to Ukraine. The ban means Gazprom PJSC cannot use that conduit any more, the company said. Russia also sanctioned and halted sales to Gazprom Germania GmbH and its units -- which are now under the control of the German energy regulator -- including supplier Wingas GmbH and London-based Gazprom Marketing & Trading Ltd. It could also upend LNG markets, and bring even greater supply worries. Read more.