The United States is pushing to restore Russian natural gas flows to Europe via Ukraine, seeking to use the resumption of energy trade as a bargaining chip to secure a ceasefire agreement on energy infrastructure between Russia and Ukraine before winter arrives.
Officials familiar with the matter said the US has proposed that American intermediaries resell Russian gas and deposit the sales proceeds into third-party escrow accounts.
This arrangement could offer Russia a path back into the European energy market and create new commercial benefits for US investors, but it has faced strong opposition from major European countries.
In September, US envoys Jared Kushner and Steve Witkoff presented the plan during visits to Moscow and Kyiv.
Under the discussions, Russian gas would flow through the Soviet-era pipeline network in Ukraine to Slovakia, then onward to Austria, Germany, and other European countries, with US intermediaries involved in the transactions to seek ways around Europe's existing procurement restrictions.
US negotiators believe that restoring European gas sales could give Russian President Vladimir Putin an economic incentive to agree to an energy ceasefire, while also allowing Ukraine to regain gas transit fee revenue.
White House officials also proposed depositing Russian gas sales proceeds into escrow accounts located in third-party jurisdictions, restricting Russia from directly using the revenue for its war effort.
The plan was temporarily shelved in October. At that time, Ukraine suspended attacks on Russian oil refineries for nearly two weeks under pressure from Trump, but Russia continued strikes on Ukrainian energy facilities.
With Ukraine resuming airstrikes on Russian oil refineries last Friday, the urgency of energy ceasefire negotiations has risen again.
The US, Russia, and Ukraine plan to hold trilateral peace talks in Abu Dhabi in mid-November, and Washington hopes to push for a more comprehensive energy ceasefire agreement before then.
However, Russia has so far refused to accept the relevant arrangements proposed by the US.
Europe Rejects Renewed Reliance on Russian Gas, EU Ban Poses Legal Obstacle
The biggest obstacle to the US plan comes from Europe.
The European Union formally adopted regulations in January this year to phase out imports of Russian natural gas, with imports of Russian LNG under long-term contracts to be banned from January 2027, and a ban on pipeline gas imports to take full effect no later than November 2027.
Leaders of major European countries have made clear they have no intention of restoring reliance on Russian energy.
EU Energy Commissioner Dan Jorgensen said in October that even if Russia and Ukraine achieve peace, the EU should not trust Russia again, and the ban on Russian gas imports should be implemented permanently.
This means that even if Russian gas is resold through US intermediaries, it will still face EU scrutiny requirements regarding the gas's country of origin. Merely changing the trading entity does not automatically eliminate existing legal restrictions.
The US government is also considering including the restart of the Nord Stream gas pipelines in a broader Russia-Ukraine peace agreement.
However, Nord Stream 1 and 2 pipelines were severely damaged in the 2022 explosions, and restoring operations would take considerable time and involve additional legal and regulatory hurdles.
By contrast, the existing pipeline network transporting gas to Central Europe via Ukraine offers more direct transportation conditions, though some damaged facilities still need repair.
Middle East Conflict Heightens Energy Pressure, US Seeks to Soften Europe's Stance
Despite enormous political resistance in Europe, persistently rising energy prices are providing new negotiating space for the US to push the plan.
Before the full escalation of the Russia-Ukraine conflict in 2022, Russian gas accounted for about 45% of Europe's supply. That share has now dropped to about 11%, while US LNG accounts for roughly 30% of the EU's gas supply.
However, this year's Middle East conflict disrupted Qatari LNG supplies, causing Europe's energy import costs to keep climbing.
According to EU energy regulator data, as of October 21, underground gas storage levels in the EU stood at about 75%, below the average for the same period over the past nine years, and Europe is about to face a winter with tighter supply.
US officials are using this situation to pitch European leaders on the economic benefits of restoring Russian gas supply, arguing that increased Russian pipeline gas supplies would help lower energy prices.
If Ukraine supports exchanging resumed transit flows for Russia halting attacks on its energy facilities, it could also reduce the political resistance in Europe to accepting the plan.
However, European countries currently still adhere to their established policy of gradually and completely eliminating Russian natural gas.
US officials say any energy trade arrangement would become part of a comprehensive peace agreement, and the prerequisite for restoring Russian gas supply remains that Russia and Ukraine reach an agreement and resolve Europe's existing legal restrictions.
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