Industrial production of natural gas in the North and Arctic regions of the Russian Federation and prospects for its implementation in the EU market

PhD (Economics), Associate Professor, Leading Researcher, Editorial Department, G. P. Luzin Institute for Economic Studies of the Kola Science Centre of the RAS, 184209, Fersman st., 14б, Apatity, Russia

^* Corresponding author: ulchenko23@rambler.ru

Abstract

The paper is devoted to the study of industrial production of natural gas in the regions of the North and Arctic of the Russian Federation and the prospects for its implementation in the market of the European Union. It is shown that the main production is concentrated in the Yamal-Nenets Autonomous district, where up to 75% of the total gas production is produced. Gas is transported both by means of a well-developed pipeline network connecting the Yamal Peninsula with European countries, and in a liquefied state, using gas carriers of the appropriate ice class. At the same time, despite all the efforts of the EU countries to reduce energy consumption, gas consumption is growing. This is due to the decline in production within the Union itself, as well as the desire to use more environmentally friendly energy sources. The analysis conducted in the course of the study showed that Qatar and Russia can actually increase the volume of deliveries in the near future. These exporters have a number of advantages that, in our opinion, will allow them to increase their presence in the energy market of the EU countries - significant reserves of natural gas, availability of production capacity, opportunities to increase the volume of transportation, and the most attractive price for end users.