Gazprom’s shares experienced a significant decline after the announcement of the Power of Siberia 2 deal, which was revealed to be a memorandum of intent rather than a binding supply contract. Investors are now expressing caution, as the agreement does not guarantee immediate revenue streams or long-term commitments. This has led to a sell-off in the market, as the potential for future gains remains uncertain.
Market analysts are closely watching the situation, as the deal’s non-binding nature could impact Gazprom’s financial projections and investor confidence. The Russian energy giant is facing increased pressure to provide more concrete details about the project’s timeline and expected outcomes. This uncertainty is contributing to the current volatility in the stock market.
Gazprom’s management is expected to address these concerns in the coming weeks, as the company aims to reassure investors about the project’s viability. However, the current sentiment remains negative, reflecting the market’s cautious outlook on the deal’s potential impact on the company’s future performance.