Gazprom reports record profits of $7.8 billion as gas prices soar

MOSCOW: Russian gas giant Gazprom on Monday said that its net income rose to a record 582 billion rubles ($7.8 billion) in the third quarter on the back of soaring gas prices in Europe.

Europe receives a third of its gas supplies from Russia and has seen energy prices surge to record highs, as economies have come back online after the end of the pandemic lockdowns.

In a statement, Gazprom deputy chief executive Famil Sadygov linked the company’s record quarterly profits to Europe’s gas crisis and said he was expecting even better results in the fourth quarter.

“Clearly, the price of our supplies to Europe will be significantly higher in the fourth quarter, which will have a positive effect on results for the entire year,” the statement said.

Some Western critics have accused Moscow of intentionally limiting gas supplies to Europe and driving up prices in an effort to hasten the launch of Nord Stream 2, a controversial pipeline to Germany in which Gazprom holds a majority stake.

Russia denies the claim and earlier this month said it began implementing a plan to restock European gas storage facilities.

Germany’s energy regulator this month suspended the approval process for the Baltic Sea pipeline over a legal hurdle, dealing another setback to the geopolitically sensitive project.