Denmark's Orsted stands by refusal to pay for Russian gas in rubles, despite supply cut
Danish energy group Orsted said late on May 31 that it stood by its decision not to pay for Russian gas in rubles, despite receiving notice from Gazprom that its supply would be cut on June 1.
Denmark met around two thirds, or 2bn m3, of its gas demand with Russia's supply last year. But there is no direct pipeline link between the countries, and Denmark can still get gas from the European market, Orsted said.
"We stand firm in our refusal to pay in rubles, and we have been preparing for this scenario, so we still expect to be able to supply gas to our customers," said Orsted CEO Mads Nipper in a statement. "The situation underpins the need of the EU becoming independent of Russian gas by accelerating the build out of renewable energy."
Orsted is consulting closely with Danish authorities on the matter, the company said.
Denmark was formerly a net exporter of gas until the Tyra gas field was closed in 2019 for renovation. It now imports three quarters of its gas, but Tyra is expected to reopen in mid-2023. Denmark has so far accumulated 4.93 TWh of gas in storage, amounting to 54.3% of its overall storage capacity.