GZPFY - Deeper dive into Putin's demand for gas payments in rubles

The energy war between Russia and the West is heating up after President Vladimir Putin demanded that natural gas sold to "unfriendly" countries be paid for in rubles. The Russian currency gained 7% against the dollar immediately after the announcement, paring its year-to-date losses to 23%, while Dutch gas futures, a European benchmark, reigniting a wild rally. "Unfriendly" nations accounted for 70%, or around $69B, of Gazprom's (OTCPK:GZPFY) export revenue in 2021, according to Dmitry Polevoy, economist at Moscow-based Locko Invest. Fine print: Supply contracts will likely need to be reworded to allow a switch in payment to rubles, but once those are reopened, all types of negotiations could take place (shorter-terms, less volumes, etc.). Supply deals often have provisions, like "significant market price changes," that can trigger renegotiations, but changing clauses of these agreements is often arduous and time-consuming. Putin has given the Russian central bank one week to come up

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Deeper dive into Putin's demand for gas payments in rubles