Gas, IEA: European storage levels at their lowest since 2013
The International Energy Agency’s warning: reserves at 75 per cent due to the war in the Middle East
(Il Sole 24 Ore Radiocor) - Europe is set to head into winter with the lowest levels of natural gas storage since 2013, which could prolong tensions on the global gas market in 2027. This is according to a report by the International Energy Agency.
At the end of October, the EU’s gas reserves were only 75 per cent full, well below the minimum 80 per cent fill target set at European Union level, and at their lowest level in over ten years, according to the organisation.
Several factors explain this situation. The closure of the Strait of Hormuz since the start of the conflict in the Middle East at the end of February has affected European imports of liquefied natural gas (LNG), the IEA notes. This closure was compounded by stocks that were already at low levels at the end of last winter.
Buyers therefore gambled in vain on a further fall in prices, delaying purchases intended to replenish their stocks. With the Strait of Hormuz still largely closed during the summer months, inflows into EU storage facilities picked up pace in August, September and October, though they did not reach the levels seen in previous years.
