Gazprom trading unit not relocating to Russia – source

Media reports that Russian Gazprom’s energy trading subsidiary, Gazprom Marketing & Trading, is moving to St Petersburg from London are incorrect, a source close to the matter has told ICIS.

All trading will continue as normal from Gazprom Marketing & Trading’s offices in London, Paris, Houston, Singapore and Zug, ICIS understands.

A spokesman for Gazprom Market & Trading did not comment on the matter.

Global newswires Reuters and Interfax had reported late on Friday that unnamed sources said the trading company would be relocating to St Petersburg from London. The reports quote a source saying one reason for the move was due to the impact sanctions placed on Russia by the West have had on the trading business, making it hard to transact.

However, the waves of sanctions that hit Russian companies in 2014, did not include Gazprom or its energy trading or exporting subsidiaries. The sanctions restrict access to longer-termed credit as well as western technology, and limit the participation of European and US companies in the exploitation of stranded oil reserves.

Gazprom Marketing & Trading employs more than 1000 people across the world and trades in gas, power, carbon and LNG markets.

Gazprom Export, another subsidiary of Russia’s Gazprom, relocated from Moscow to St Petersburg in December. Miriam Siers