Gas Transit Through Ukraine: European Supply, GIS Decisions, and Market Impacts

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As of July 9, 2023, Gazprom reported delivering 40.8 million cubic meters of natural gas daily to Europe via Ukraine, routed through the Sudzha gas metering station (GIS). This figure was communicated by a Gazprom representative and circulated by TASS. The same source noted that an application for the Sokhanovka GIS was rejected, while deliveries to Europe on the preceding day remained at the same level. The Ukrainian Gas Transmission System Operator (OGTSU) previously announced that the gas flow could hold steady at about 40.8 million cubic meters per day.

Historical disruptions to transit appeared in May 2022 when gas shipments to Europe through the Sokhranivka station were halted due to force majeure beginning May 11. The suspension was linked to limited control over the Novopskov border compressor station, which was situated in the region then known as the Lugansk People’s Republic. Consequently, all application requests were rejected and purchases of gas via Sokhranivka ceased.

Analysts have noted that Gazprom, given current pricing levels, generates substantial annual revenue from European gas supplies via Ukraine, estimated at several billions of dollars seen across a yearly delivery of roughly 10–15 billion cubic meters. The Ukrainian route, together with the Turkish Stream corridor, is often highlighted as one of the two principal arteries for Russia’s gas shipments to Europe.

Earlier analyses also referenced Poland’s ongoing awareness of its dependence on Russian gas, underscoring how gas transit routes and geopolitical shifts influence energy security across Central and Western Europe. The evolving situation around GIS approvals and discrepancies in daily delivery figures continue to shape market expectations, contract negotiations, and policy discussions among European buyers and regional energy authorities.

In sum, the interplay between GIS operations, transit agreements, and price dynamics remains a focal point for European gas supply strategies. Stakeholders monitor whether future adjustments to GIS approvals or alternative transit options could alter the balance of supply routes and the associated revenue flows for major producers and transit countries.

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