Spanish gas grid prepares for post-Russian LNG era, CEO says

Spanish gas grid operator Enagas has signalled that it is prepared to ban Russian liquefied natural gas (LNG) as early as 2027 if the European Union moves forward with its planned phase-out, CEO Arturo Gonzalo told Reuters.

The EU is currently negotiating legal proposals aimed at ending Russian oil and gas imports by January 2028, with separate sanctions under discussion that would prohibit Russian LNG a year earlier. The measures are part of Brussels’ broader strategy to deprive the Kremlin of revenue funding its war in Ukraine.

In the interview, Gonzalo said that from an infrastructure standpoint, a 2027 ban on Russian LNG is feasible. “And I understand that it makes sense that Europe has to raise the bar of ambition of sanctions against Russia,” he said. “We are technically prepared to operate without Russian gas.”

Gonzalo explained that gas network operators already have systems in place to trace the origin of LNG shipments. Enagas requires shippers to report the origin of cargoes unloaded in Spain through its logistics platform, where the information is cross-checked against cargo documentation and verified through customs inspections.

According to the latest draft of the EU’s proposed Russian oil and gas phase-out, seen by Reuters, importers would need to provide proof of the production country of their gas to national authorities before shipments arrive in Europe. Authorities could also request additional details on gas supply contracts. These obligations would not apply to countries that exported more than 5 billion cubic meters of gas to the EU last year, meaning U.S. LNG shipments would be exempt.

Gonzalo highlighted the flexibility of the LNG market, noting that non-Russian volumes could replace the lost supply. “Once the LNG from Russia stops coming, a very good part of that is going to be replaced by U.S. LNG,” he said.

EU member states are expected to approve the 2028 Russian oil and gas phase-out next week before negotiating the final legislation with the European Parliament. Discussions on LNG-specific sanctions are proceeding separately.

By Tamilla Hasanova