Russia Halts Natural Gas Exports To Latvia, Sending European Gas Prices Soaring As Other Nations Brace For A Full Cut-Off

• European gas futures jumped roughly 6% Monday, August 1, 2022 after Russia's Gazprom announced it had shut off natural gas flows to Latvia, per the Wall Street Journal. The state-run energy major said the gas was shut off to the EU nation because of a "violation of the conditions for gas withdrawal."
• Since Russia invaded Ukraine, Moscow has halted natural gas flows to companies in Poland, Bulgaria, the Netherlands, and Denmark, while severely reducing flows to Germany via the Nord Stream 1 pipeline.
• Latvia, historically, has been fully dependent on Russian gas, but had said it would find alternative energy sources by the start of next year.
• Russia is the largest energy supplier for Europe, and accounts for roughly 40% of the continent's natural gas. European officials have accused President Vladimir Putin of wielding energy as a political weapon, and Moscow is widely seen as cutting gas off in retaliation for sanctions. Other EU nations have been trying to reduce demand as they prepare for a potential full cut-off of supplies from Russia.

 (Source: Insider)