Europe‘s Gas Reserves Dwindle Rapidly as Cold Weather and Diminished LNG Imports Drive Surge in Withdrawals
The European Union (EU) is depleting its natural gas storage facilities at a record pace since the onset of the energy crisis, driven by cold weather and a significant reduction in liquefied natural gas (LNG) imports, according to a report by The Financial Times (FT).
Since late September, the EU’s gas storage levels have plummeted by 19%, as reported by the Global Infrastructure and Energy (GIE), with FT noting that winter withdrawals have been substantially higher than in previous years.
"In previous winters, storage facilities remained relatively full during the heating season, and industry curbed demand due to high prices," FT noted.
Natasha F palino, head of gas pricing at Argus Media, commented, "This winter, Europe has had to rely much more on its underground storage to compensate for the decrease in LNG imports and meet growing demand."
FT reports that the EU’s gas stocks had not been depleted this quickly since December 2021.
While current reserves stand at 75%, higher than the average for the past decade, this is still significantly lower than the 89% recorded in December 2021.
