MOSCOW, August 1. /TASS/. German energy concern Uniper no longer expects financial losses from the purchase of gas volumes to replace Russian gas, the company said in a financial report. The company also sees no need for another 5 billion euro loan tranche from the state-owned KfW banking group.
According to the report, "has almost effectively hedged the associated gas supply obligations to customers for the years 2023 and 2024, including through forward contracts during the second quarter of 2023." As a result, the price risk from increased procurement costs has been almost effectively hedged, the company says.
"Uniper now expects no further financial losses from the procurement of replacement gas volumes in connection with the supply curtailments from Russia," the report says.
Therefore, no further capital increases by the German state will be necessary, the company concludes,
By the end of the first half of 2023, Uniper reduced the KfW credit line ahead of schedule from 16.5 billion euros to 11.5 billion euros.
Since the end of August 2022, Uniper has completely stopped receiving gas from Russia and considers this a violation of contractual obligations by Gazprom. In 2022, the company’s loss of 19.1 billion euros, as calculated under international financial reporting standards, due to shortages of Russian gas.
Earlier Uniper initiated arbitration proceedings against Gazprom Export in the International Arbitration Court in Stockholm. The company is seeking compensation for losses incurred due to shortages of Russian gas since June 2022. Uniper was forced to purchase gas from the market at a higher price. The German company previously stated that it expects its costs on replacement of Russian gas to increase until the end of 2024.