Europe began to take gas from underground storage

In Europe, gas intake from underground storage facilities has begun. Natural gas stocks at the beginning of the winter season make up 77.13% of the UGS volume, Interfax-Ukraine reports.

It is not excluded that the accumulated volume of stocks may be sufficient for the heating season. However, the reduced level of stocks reduces the most important indicator of the UGS operation - maximum daily productivity and the ability to flexibly respond to severe cold.

The devastation of storage facilities in Europe is the main driver of price increases. This is also facilitated by the rise in fuel prices at another, even stronger pole of demand - in Asia. The gas price at the TTF hub in the Netherlands with delivery on Monday is $1081 per thousand cubic meters.

Confident extraction of gas from underground storage facilities in Europe lasted three days in a row (from 13 to 15 October). On Saturday (the last day in the Gas Infrastructure Europe statistics), the injection naturally exceeded the withdrawal (as it happens at the beginning of the withdrawal season), since the demand in the system naturally decreases on weekends.

Last year, 2020, the transition from injection to sampling in Europe as a whole fell on almost the same date - October 12.

However, last year the situation was fundamentally different - the storage facilities had a record volume of gas accumulated following the results of two warm winters, and it was profitable for the market to start spending reserves early. This season, reserves are at a historically low level, and some expectations that pumping into European UGS facilities would take longer as more reserves need to be built up.

Over the history of observations on average in Europe, the transition from net injection to net withdrawal in Europe fell on 20 October. The latest date for the start of the selection was recorded in 2013, November 3.

To recap, the first line of Nord Stream 2 was filled with industrial gas.

As reported, China looks to lock in U.S. LNG as energy crunch raises concerns

Read also: No coal and light: winter in Ukraine.

Tags: Gazprom, gas imports, UGSF, RF, heating season, stocks, volumes, infrastructure, natural gas, crisis, thermal energy, Europe

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