Gazprom has warned Europe about the price increase

Газпром предупредил Европу о повышении цен

Alexey Miller believes that the OPEC’s decision will lead to higher prices for hydrocarbons.

The average price of gas supplies to Europe in the first quarter of 2017 will be higher than in the fourth quarter of 2016, said the head of Gazprom Alexey Miller in an interview with RIA Novosti.

“We now have the dynamics of the fourth quarter, I mean the prices of oil and oil products, respectively, from the valuation of our gas contracts, and now absolutely we can say that the average price of gas supplies to the European market in the first quarter higher than fourth,” said Miller.

According to Miller, the decisions recently have been taken by OPEC will lead to higher prices for hydrocarbons.

“In recent time prices on the spot markets for gas have been higher than prices in relation to oil and oil products. And in this context we are talking about upward trends on those contracts, where prices (for gas go – ed.) in relation to oil and oil products,” said Miller.

As reported Корреспондент.netthe OPEC countries at the meeting on 30 November agreed to cut production by 1.2 million barrels per day – up to 32.5 million barrels. And non-OPEC countries at the meeting with the cartel on 10 December agreed on a reduction of its production a total of 558 thousand barrels per day, including Russia – 300 thousand barrels. Production cuts will begin in January.

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