Minister Sees Challenges for Gazprom

The impact of shale gas on global markets is forcing Russia to re-examine its energy strategy.

The shale gas revolution has led to depressed natural gas prices in the United States, causing a shift in the global demand/distribution of liquefied natural gas.

In presenting an downbeat economic outlook, Deputy Economy Minister Andrei Klepach said that Europe would likely see lower natural price prices.

European economic challenges, expanded global shale gas output and proposed increases in LNG production from Australia and Africa all provide challenges to Gazprom, the largest supplier of natural gas to the European market and significant contributor to Russian state coffers.