Supply-side options are increasingly limited for European nations
LNG’s prospects and future in the spotlight
High spot gas prices and European concerns over security of supply might spark renewed interest in long-term LNG contracts, International Energy Week participants suggest
Russia’s invasion of Ukraine has brought the issue of Europe’s gas supply to the fore, particularly the continent’s dependence on Russian pipeline flows. Almost all of Europe's regasification capacity was near fully utilised in January this year, meaning there is little or no room to ramp up LNG shipments as an alternative to Russian supply. On the supply-side too, there is little additional export capacity available to send out extra cargoes. Furthermore, around 40-50mn m³/d of Russian gas transits Ukraine, which might also be under threat. Europe’s gas inventories are also already relatively low for the time of year, as strong competition with Asian buyers in 2021 limited the volumes avail
Also in this section
3 October 2024
The formation’s gas-to-oil ratio is set to keep rising, but new markets and midstream plans mean infrastructure constraints may not be an issue
2 October 2024
Geopolitical strife embroiling Iran and political corruption in Venezuela suggest little near-term change to oil production from either of the sanctioned states
1 October 2024
Our look into Petroleum Economist's archives continues with October 1960 coverage of another key moment in the history of oil and gas: the founding of OPEC
1 October 2024
In an age of ‘poly crisis’ and ‘radical uncertainty’ the only thing we can say about the future is that it will not be business as usual
