FT: GDF Suez chief confident Russia gas will keep flowing

Russia needs the money from the sale of gas to Europe too much to seriously consider cutting off supplies in response to the crisis in the Ukraine, according to the chief executive of the world’s second largest utility GDF Suez.

Gérard Mestrallet said that more than ever Russia needs the $170bn a year it gets from the sale of hydrocarbons, making up 70 per cent of its exports, which should ensure no supply disruptions in western Europe this winter.

“Because of the capital outflow from Russia since the beginning of the crisis, the sale of hydrocarbons is so important now more than ever, absolutely key . . . We need Russian gas and Russia needs the cash from the gas,” he said.

“We consider that there could be some difficulties between Russia and Ukraine, but question of supply by Russia of western Europe, so far, is not really in question. It is in the interest of Russia to sell its gas.”
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