RIYADH: Countries are still trying to cope with the conflict between Russia and Ukraine as well as soaring energy costs. Germany is seen sealing deals for alternative gas supplies while Austria is adding subsidies to shield the economy. On a micro level, Saudi Aramco is pursuing carbon centric goals while Gazprom struggles to find willing buyers.
Looking at the bigger picture:
- Austria has announced 2 billion euros ($2.2 billion) worth of energy subsidies to cushion the economy from rallying prices, Bloomberg reported. The subsidies, which include tax cuts and employee compensation, were announced by Finance Minister Magnus Brunner and Climate and Energy Minister Leonore Gewessler.
- Germany has finally sealed a deal to receive a long term liquefied natural gas, or LNG, supply from Gulf country Qatar, Bloomberg reported. This comes as the European country is looking to divert gas supply away from Russia after its invasion of Ukraine.
- Moreover, Germany is fast tracking two terminals to propel liquified natural gas shipments, Reuters reported, citing Qatar state owned company QatarEnergy.
Through a micro lens:
- Saudi Arabian public petroleum and natural gas company Saudi Aramco is planning to develop a major hydrogen export capability, Reuters reported. Founded in 1933, the Dhahran based firm aims to become a global leader in carbon capture as well as storage.
- The UK energy supply arm of Russian majority state owned multinational energy corporation Gazprom is struggling to find willing buyers as major customers rush to exit post Ukraine’s invasion, The Times reported. American multinational fast food corporation McDonalds, German multinational conglomerate corporation Siemens, and UK waste management company Biffa are all in talks with the gas industry company about ending multi-million pound contracts.