Agencies-Gaza post
Berlin prepares nationalization of Gazprom Germania
The country’s authorities had previously rejected plans to nationalize the company
The German government in Berlin has secretly set up a holding company to nationalize Gazprom’s former German subsidiary in the near future, Welt am Sonntag reported.
Gazprom Germania was previously renamed Securing Energy for Europe (SEFE) and managed by the Federal Network Agency. The new holding now has a name similar to SEFE – Securing Energy for Europe Holding GmbH (SEEHG).
Two lawyers from the law firm CMS Hasche Sigle were appointed managing directors of the new investment company.
Gazprom Germania, a subsidiary of the Russian gas company Gazprom, used to operate some of the country’s largest natural gas storage facilities. The company was seized as part of the Ukraine-related sanctions against Russia.
In June, Bloomberg reported that the federal government plans to allocate up to 10 billion euros ($10.4 billion) to bail out Gazprom Germania, which was seized by the country’s energy regulator in April. At the time, the regulator said it would manage the company in the interests of Germany and Europe.
In response to the seizure, Gazprom halted gas supplies to the company, which amounted to about 10 billion cubic meters per day, and on May 11, Gazprom Germania was subject to sanctions by Russia. The company was then shunned by trading partners and faced liquidity problems, risking the collapse of key gas retailers in Germany and the UK.
The Federal Ministry of Economics announced that the holding company was known and that its establishment was a precautionary step for any restructuring measures.
“It is purely a pension fund that currently only exists as a shell under corporate law,” a spokesman for the world ministry said on Sunday.
