- The European gas balance has been tightening through much of 2021 as gas demand has increased relative to 2020 and the loss of significant demand- and supply-side flexibility has pushed prices to new all-time highs. Yet, gas demand has proved very resilient in the face of these high prices.
- Coming into winter 2021/22, European storage facilities are in a far less favorable position than last year, with storage fill peaking at about 80 Bcm in late October - compared to 98 Bcm in 2020 - and turning to net withdrawals since then.
- Looking forward to 2022, bullish demand drivers suggest further market tightness through the winter months, while prospects for incremental supply remain limited.
For further details see:
Caught In The Middle: European Gas In 2022