Europe's hopes for U.S. LNG to replace Russian supplies carry significant risks - Gazprom CEO Miller

MOSCOW. Oct 20 (Interfax) - Europe's attempts to switch its source of gas supplies from Russia to the United States pose significant risks to supplies, Gazprom CEO and management board chairman Alexei Miller said during an interview with Rossiya 24 TV.

"They say: We are trying to replace [Russian gas] completely with shale gas [from the United States], LNG, and so on, but it is not working. Moreover, it is a big question whether it will work at all. When we see no comprehensive solutions, but, rather, attempts to resolve the matter with a single, simple solution, we are surprised. In our view, these are extremely high risks," Miller warned.

Miller cited "highly authoritative oil price forecasts".

"If the actual price of Brent even comes close to these authoritative forecasts, it would become clear that the profitability of shale gas production is completely different. The question arises as to who would actually do this, who would produce it, and where would it then appear on the market," he said.

"We are a gas company, though we closely monitor forecasts for oil prices and understand very well that forecasts, even ambitious ones, come true, and not infrequently," Miller added.