Europe Misses 90% Gas Storage Goal as Hormuz Disruptions Divert LNG to Asia
Updated
Updated · Euronews · Aug 20
Europe Misses 90% Gas Storage Goal as Hormuz Disruptions Divert LNG to Asia
2 articles · Updated · Euronews · Aug 20
Summary
Montel forecasts EU gas storage at just 69%-84% on Nov. 1, leaving the bloc’s 90% winter target out of reach despite Brussels allowing lower refill levels.
62% storage at present and only 46% in Germany at end-July reflect weak injections and scarce LNG, with Europe averaging 105 cargoes a month from May to July versus roughly 130 needed.
More than 140 LNG vessels a month would now be required through October to reach even 80% storage, a level Montel says is unlikely without much higher European prices or restored Hormuz flows.
US LNG shipments to China, Japan, South Korea, Taiwan and India tripled from March to July and exceeded deliveries to Europe in July, forcing Europe to bid higher for cargoes.
The shortfall leaves Europe more exposed to winter cold snaps and supply shocks, though the European Commission says storage is near 62% and sees no immediate security-of-supply emergency.