Germany is considering the potential nationalization of energy giant Uniper, the country’s biggest gas importer whose losses continue to mount in the worsening energy crisis despite a multi-billion bailout earlier this summer, sources with knowledge of the discussions told Bloomberg on Wednesday.
The German government and the biggest German buyer of Russian gas, Uniper, agreed in July on a $15 billion bailout package to help the energy giant, which has been reeling from reduced Russian gas supply and soaring prices of non-Russian gas. Under the package, the German government bought a 30% stake in Uniper and made available further capital to help the company.
Russia shut down the key pipeline to Germany, Nord Stream, earlier this month, blaming the Western sanctions for the closure of the pipeline and saying that the gas export route wouldn’t reopen until sanctions impeding gas turbine maintenance in the West are lifted.
Since the July bailout of Uniper, losses at the German energy company have continued to mount as the energy crisis in Germany and Europe has worsened.
Last month, Uniper reported first-half 2022 losses of some $12.5 billion, with losses incurred due to the necessity of buying natural gas on the spot market as Russia cut flows to Germany.
Uniper’s parent firm, Finland-based Fortum put out a statement on Wednesday in which it said that since the July bailout, “the parties’ joint priority has been the implementation of the stabilisation measures and a long-term solution for Uniper. Due to the increased uncertainties in the operating environment, the parties are also looking into alternative solutions.”
“No decisions beyond what was agreed in the stabilisation package in July have been made,” Fortum said.
“Since July, Uniper’s financial losses due to the higher gas procurement cost and the uncertainty around the company’s future have rapidly and significantly increased. The deteriorating operating environment and Uniper’s financial situation have to be taken into account while Fortum, the German government and Uniper continue their discussions on a long-term solution for Uniper,” the Finnish firm said.
By Tsvetana Paraskova for Oilprice.com
More Top Reads From Oilprice.com:
Germany Could Nationalize Its Biggest Gas Importer & Latest News Update
I have tried to give all kinds of news to all of you latest news today 2022 through this website and you are going to like all this news very much because all the news we always give in this news is always there. It is on trending topic and whatever the latest news was
it was always our effort to reach you that you keep getting the Electricity News, Degree News, Donate News, Bitcoin News, Trading News, Real Estate News, Gaming News, Trending News, Digital Marketing, Telecom News, Beauty News, Banking News, Travel News, Health News, Cryptocurrency News, Claim News latest news and you always keep getting the information of news through us for free and also tell you people. Give that whatever information related to other types of news will be
Germany Could Nationalize Its Biggest Gas Importer & More Live News
All this news that I have made and shared for you people, you will like it very much and in it we keep bringing topics for you people like every time so that you keep getting news information like trending topics and you It is our goal to be able to get
all kinds of news without going through us so that we can reach you the latest and best news for free so that you can move ahead further by getting the information of that news together with you. Later on, we will continue
to give information about more today world news update types of latest news through posts on our website so that you always keep moving forward in that news and whatever kind of information will be there, it will definitely be conveyed to you people.
Germany Could Nationalize Its Biggest Gas Importer & More News Today
All this news that I have brought up to you or will be the most different and best news that you people are not going to get anywhere, along with the information Trending News, Breaking News, Health News, Science News, Sports News, Entertainment News, Technology News, Business News, World News of this made available to all of you so that you are always connected with the news, stay ahead in the matter and keep getting today news all types of news for free till today so that you can get the news by getting it. Always take two steps forward
News – Times . This Is Not My Content So If You Want To Read Original Content You Can Follow Below Links