EU Gas Storage Levels Hit Near Two-Decade Lows Amid War-Driven Shortage

The European Union is bracing for a potentially tight natural gas supply situation this winter, as storage facilities sit at near two-decade lows. According to the European Commission, the EU's storage facilities are only about 57% full, with levels not seen since 2009.

This shortage is largely due to the Iran war, which disrupted summer stockpiling and drove up prices for liquefied natural gas (LNG). The conflict has led to a fifth of global LNG supply being snapped up by Asian buyers, leaving Europe scrambling to secure its own imports.

The EU's gas coordination group met in July and found no immediate concern about security of gas supply ahead of winter. However, the group did note that achieving storage levels of 80% would be sufficient to secure winter supply, a goal that is 'technically achievable', according to the European Commission.