Yesterday (March 28/2022) Russia said on that it will not supply gas to Europe for free, as it is working out a new method for accepting payments for gas in Roubles. Last week Russia announced that “unfriendly” countries must pay for gas in Roubles in the wake of sanctions from NATO countries.

Kremlin spokesman Dmitry Peskov stated “this is hardly possible and appropriate to engage in charity”, given the rapid devaluation of the Rouble since Russia’s invasion of Ukraine. Peskov added “we are not going to supply gas for free”.

The Rouble has made a significant recovery since the announcement.

A refusal by the G7 to pay for Russian gas in roubles would lead to unequivocal halts in supplies.

Unfortunately for the EU, despite their bolstering, Europe still relies heavily on Russian gas supplies, which are delivered through three main pipeline routes.

NATGAS Ready To Soar?

Natural Gas is currently trading just below the $5.5 mark, having rebounded out of the 50 week moving average support. Price has broken the resistance trendline and is now targeting upside into the highs around $6.50.