The consolidated gas balance of European UGS filling has fallen below 40% and stood at 39.65% as of January 27, Russian media reported, citing data from Gas Infrastructure Europe (GIE). This is the lowest consolidated data for the last five years on the current date.
According to Gazprom, already on 22 January the European UGSF filling ratio was more than a quarter less than last year’s level, and from the summer levels the withdrawn gas exceeded 70%.
The worst situation in continental Europe is in Austria, where UGSF capacity does not exceed 24%. By contrast, in Italy, which receives gas under long-term contracts, this figure is above 50%.
The United States and Australia “rush to the rescue”
After repeated statements by American politicians, Australia joined the race for populism. Canberra promises to save Europe in case Russia fails to cope with fuel supplies. Despite the actual growth of LNG supplies, this will not fix the situation.
Major LNG supplies from the U.S. go to the Asia-Pacific, where gas prices have long exceeded $2,000. Australia is also taking advantage of its geographical position, which is working in the same direction.
Europe’s consolidated gas balance has fallen below 40 percent. Photo: Yandex Images
The most reliable way to bring down the price on the European market is to introduce Nord Stream 2
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According to the analysts of Bank of America the cost of 1,000 cubic meters of natural gas according to the TTF index of the Netherlands may reach $3,500 during the current winter season. The December price of $2200 suggests that this may be a reality.
