Finland admits that phasing out Russian LNG will boost Moscow's revenues

MOSCOW, 21 Sep — PRIME. The Finnish state enterprise Gasum will continue to buy Russian LNG, because according to the “take or pay” condition laid down in the contract, it will have to pay Russia even if it refuses to purchase, Helsingin Sanomat states.

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Gasum reported that they continue to purchase LNG from Russia, delivering by sea an average of 2.5 times a month. Gasum works on the basis of a long-term contract with Gazprom Export for the supply of LNG, while, as noted in the Finnish company, the Russian side did not put forward requirements for payment in rubles, as happened with pipeline gas.

At the same time, the contract stipulates the “take or pay” condition, according to which Gasum undertakes to purchase a certain amount of Russian LNG during the year.

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“This means that we either get gas and pay for it, or we don’t get gas and still pay for it,” a Gasum employee explained.

The Finnish gas market expert Heikki Lindfors commented on the situation. He noted that today, given the “take or pay” contract model, purchases must continue, because the refusal to import LNG will not reduce Russia’s income from energy exports, but, on the contrary, will increase them, since Moscow will sell the LNG destined for Finland to other countries.