Rosneft doesn’t have enough gas to supply and will have to buy it at higher price

Rosneft, which was going to become the second player on the domestic gas market after Gazprom for less than ten years, can’t now provide existing contracts. The companies doesn’t have enough own gas, and the negotiations on purchases with Novatek and Gazprom, according to the Kommersant’s information, failed. The monopoly is ready to sell gas only at a high price, which will mean direct losses for Rosneft. But the oil company has no choice, unless the demand for gas doesn’t fall because of the crisis - then it will be able to cover the deficit at the expense of exchange .

Rosneft hasn’t managed to agree either with Gazprom, or with Novatek on gas purchases for the supply to the Inter RAO UES’ power station, sources on the market told the Kommersant. Since 2016, the company is to deliver 32.3 billion cubic meters per year to Inter RAO UES, but now it can’t completely cover the contract with its own gas.