A subsea gas pipeline and a telecommunications cable connecting Finland and Estonia under the Baltic Sea have suffered damage in what appears to be a deliberate act, according to the Finnish government.
The Balticconnector gas pipeline was shut down due to concerns about gas leakage from a hole in the 77-kilometer pipeline, and it may take months to repair. Additionally, the damaged telecommunications cable raised concerns about connectivity in the region.
While Finnish Prime Minister Petteri Orpo described the damage as "worrying," he assured Finland's energy supply remained stable. He also highlighted that it was premature to conclude the cause of the damage, and an investigation is underway.
European gas prices surged in response to the news, reaching a six-month high, Reuters noted, fueled by concerns over tensions in the Middle East and the belief that external activity may have caused the pipeline damage.
Despite the damage, the Balticconnector pipeline gas system operators do not foresee shortages, and Finland's alternative gas supply arrangements are expected to cover demand.
While the exact cause of the damage remains unclear, authorities are not ruling out the possibility of sabotage, drawing parallels with deliberate acts of sabotage on the Nord Stream gas pipelines in 2022. Finland has diversified its gas imports, primarily relying on liquefied natural gas (LNG) from the United States.
Finnish telecommunications operator Elisa confirmed that the damaged cable, primarily used for backup purposes, did not disrupt its services, providing a measure of continuity.
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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