Friday, 10 March 2017

Europe will need more gas to replenish storages this summer-Statoil

In General Energy News 09/03/2017

Statoil ASA told analysts during a gas seminar on Thursday:
European gas storage levels are at record low, and will require close to 2 billion cubic metres gas extra per month this summer versus summer 2016 to replenish to same levels as last year
LNG is the most expensive supply source to Europe after Russian gas
Volumes of Russian gas exports to Europe will decide how much room is left for LNG imports
U.S. gas prices are expected to rise over the next 5 years to match the break even cost of shale drillers
Sees gas demand in Europe improving short-term, after demand rose by 6-7 percent in 2016
Gas competitiveness in power sector in Germany is expected to improve
Restrictions on gas production from the Groningen field in the Netherlands supports demand for Norwegian gas
Norway exported a record volume of gas to the Netherlands in 2016 to meet the shortage
There are discussion in the Netherlands to reduce Groningen cap further to 20 bcm from 24 bcm.

Source: Reuters (Reporting by Nerijus Adomaitis and Lefteris Karagiannopoulos, editing by Terje Solsvik)