Jun. 19 at 6:44 PM
$VG Europe Gas Storages Get Little Reprieve From Iran Peace Deal
Increased competition for cargoes may force Europe to keep paying a premium to attract liquefied natural gas and refill depleted storage sites before the heating season. At the same time, winter contracts have declined alongside gas for the summer months, keeping stockpiling uneconomical for some traders.
“The prompt physical market is still structurally tight,” said James O’Brien, head of LNG at D. Trading, a unit of Ukraine’s private energy company DTEK. “The cost of moving molecules through Hormuz looks like it just went up permanently.”
O’Brien doesn’t see a near-term solution to Europe’s restocking problem and says there’s a risk that inventories will only be 70% full by the time winter arrives, well below historical averages.
https://www.bloomberg.com/news/articles/2026-06-19/europe-gas-slide-fails-to-boost-incentive-for-winter-stockpiling
