Gas
US weighs push to restore Russian gas transit to Europe
United States officials have reportedly discussed plans to resume Russian natural gas flows to Europe through Ukraine using a U.S. intermediary.
Key points
- US envoys Jared Kushner and Steve Witkoff floated the proposal during visits to Moscow and Kyiv in September.
- The arrangement would involve a US intermediary to sell Russian gas, despite existing EU import restrictions.
- Europe faces lower than usual gas storage levels as winter heating demand begins to rise.
What happened
The United States has engaged in discussions with Russia regarding the potential restoration of natural gas supplies to Europe through pipelines crossing Ukraine, according to reporting by the Wall Street Journal. The initiative was advanced by presidential envoys Jared Kushner and Steve Witkoff during diplomatic trips to Moscow and Kyiv in September. Under the proposed framework, Russian gas would be marketed via a United States intermediary, presenting a prospective commercial opportunity for American investors while navigating strict European Union regulatory hurdles.
Ukraine halted all Russian gas transit early last year following the expiration of the five-year transit agreement between Gazprom and Naftogaz, which was not renewed. Nevertheless, the Wall Street Journal indicated that restarting transit could provide Kyiv with much-needed financial revenue. The resumption of flows could also ease heating costs for European consumers as seasonal demand increases.
Market pressures in Europe
European natural gas storage levels remain below historical averages ahead of the winter peak. Germany faces particular vulnerability, with storage capacities reported at 61 percent full against a target of 80 percent as of November 1. Germany holds the largest share of the European Union's storage capacity at over 20 percent.
Despite these supply pressures, official European Union policy maintains that imports of Russian energy commodities will be phased out entirely. While the bloc has continued to purchase liquefied natural gas from Russia—accounting for approximately 85 percent of Yamal LNG global deliveries in the first nine months of the year—Brussels has asserted that pipeline gas imports are scheduled to conclude next year.
Why it matters
For international energy markets, any shift in European import policy carries profound implications for global supply dynamics and pricing benchmarks. With Henry Hub natural gas spot prices recorded at 2.76 US dollars per MMBtu by the US Energy Information Administration on October 27, interventions that alter trans-continental trade flows can trigger immediate volatility across global energy commodities. For African energy producers and investors, European efforts to diversify away from Russian supplies remain a critical driver for long-term liquefied natural gas export strategies, particularly for emerging producers seeking secure, long-term supply contracts in international markets.
Original reporting
This article draws on the following reports. Read them in full on the publishers’ sites.
Context from CEII
Gas is the flexible backbone of many grids and the designated transition fuel in many national plans, from LNG trade to domestic LPG and CNG. Supply security and pricing drive both power reliability and emissions.
45.3% of electricity in Russia came from gas in 2024Countries in this story
Written by the CEII Desk, the Centre’s automated newsroom, from the reporting credited above and CEII’s own data. Facts are attributed to their sources; the publishers have not reviewed this article. Spotted an error? Tell our editors.
