We’re hearing that natural gas will play a growing role in the world because global gas prices have risen sharply. But prices may fall if countries join forces and geopolitical obstacles are removed.
According to Russian President Vladimir Putin, the main problem in the global gas market today is supply disruption. Significant volumes of gas have been removed from the market while demand remains stable. Replacing the lost volumes and revising logistics is a complex task, Putin said, and solving it requires developing transport routes with all gas-exporting countries.
Russia is hosting this summit today, which signals that it remains a principal player in the global energy market and can form alliances outside the Western world. Russia ranks first in natural gas reserves and is the world’s second-largest natural gas producer.
Pipeline gas exports have recently dropped significantly, and Putin has called disruptions to routes to Europe “direct terrorist acts.” Despite all that, he said, Russia remains a responsible gas supplier and partner. Any attempt to exclude Russia from the global gas market has had serious consequences, he said, pointing to Europe, which he claimed has damaged its own industries and social sphere by refusing Russian energy.
Putin added that Russia is exploring joint work with the United States in the resource-rich Arctic, where gas, oil and mineral extraction is particularly difficult and requires a combined effort.
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