EU Purchases Record Volumes of Liquefied Gas

The EU has implemented large-scale precautionary measures due to fears of disruptions in gas supplies to Europe. This was announced to reporters in Strasbourg by European Commission President Ursula von der Leyen, as reported by dpa.

To mitigate the risk of supply disruptions, the European Commission has been negotiating increased gas volumes with major liquefied natural gas exporters including the USA, Qatar, and Egypt in recent months. Additionally, consultations have been held with major LNG importers, particularly Japan and South Korea, to provide the EU with raw materials from their reserves.

As noted by the Commission President, these efforts in Brussels resulted in the EU importing a record 10 billion cubic meters of liquefied gas in January.

Deutsche Welle reports that the noticeable rise in gas prices in Europe began in the spring of 2021 when gas prices fluctuated around $250-300 per 1000 cubic meters. By the end of summer, the value of contracts for "next-day" delivery exceeded the $600 threshold, and by early October, it surpassed $1000. In December, prices doubled, reaching a historical peak of $2190.

This marks the highest prices Europe has seen in the history of gas distribution centers, the first of which, the British NBP, was established in 1996.

Ursula von der Leyen noted earlier in February that European countries receive over 40 percent of their gas from Russia, which currently seems "uninterested in increasing supplies despite high prices and surging demand."