The Russian state energy empire Gazprom has made record profits on the back of Europe’s energy supply crunch, and predicted a lucrative winter as the Continent braces for a cold snap.

The Kremlin-controlled company, the world’s largest producer of gas, reported record third quarter profits following surging prices in Europe, its largest export market.

Profits rose to 581bn roubles (£5.8bn) compared with a loss for the same period last year ago on sales that soared by almost three-quarters to 2.37 trillion rubles, another record high. 

Famil Sadygov, Gazprom’s deputy chief executive, said: “The price of our supplies to Europe will be significantly higher in the fourth quarter, which will have a positive effect on results for the entire year.”

Europe’s reserves of natural gas are at historically low levels with supplies being used at the fastest pace in a decade, according to Bloomberg. Gas storage sites in Europe are just 64pc full, far below the 10-year average of 86pc for this time of year.