BAKU, Azerbaijan, March 27. The European gas industry gears up for the next two years, recognizing the delicate equilibrium between supply and demand, Trend reports with reference to the International Gas Union (IGU).
With awareness that a cold winter or a convergence of technical and political factors could trigger a fresh crisis, industry leaders emphasize the need for vigilance.
Speaking on behalf of the sector, the IGU highlighted concerns over potential price hikes and volatility, particularly in the medium term. The pause in the permitting of new liquefied natural gas (LNG) projects exporting to Europe, as decreed by the US administration, is deemed a worrisome signal, prompting European industry representatives to express their apprehensions to US authorities.
Amid these uncertainties, Russian pipeline gas supplies have stabilized around 26 billion cubic meters annually, significantly lower than pre-war levels of 140 billion cubic meters in 2021. However, LNG imports globally have remained steady, with European Union and United Kingdom imports totaling 142 billion cubic meters. Notably, US LNG imports have increased to 74 billion cubic meters, albeit falling short of the ambitious targets set by President Biden and President Von der Leyen in March 2022.
It's worth noting that while Norwegian supplies to Europe experienced a slight decrease due to maintenance, North African and Azerbaijani supplies remained stable. Additionally, following an agreement between Bulgaria and Türkiye, some LNG deliveries to Turkish terminals may indirectly benefit Southeastern European countries.
In a broader context, the overall supply of Russian gas to the EU, combining pipeline and LNG, has dwindled to less than one-third of its pre-war volume, highlighting the profound impact of geopolitical tensions on energy dynamics.
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