Reported about 1 year ago
In May, Europe imported more natural gas from Russia than from the US, marking the first time in almost two years. This shift occurred due to temporary factors and may not last long, highlighting the challenges Europe faces in fully resisting Russian gas. Despite efforts to reduce dependency on Russian gas after the 2022 invasion of Ukraine, Europe's import of Russian gas surpassed that from the US. However, this trend may change as Russia is expected to increase LNG exports to Asia during the summer, while the US LNG production is ramping up. The article also mentioned ongoing negotiations between Russia and Ukraine on gas transit agreements, with uncertainties surrounding the renewal of the agreement. The situation is further complicated by other geopolitical developments, such as the Southern Gas Corridor expansion project between the EU and Azerbaijan, aiming to increase gas supply to Europe. Europe and Japan have established a warning system to monitor LNG supply-demand dynamics and agreed to implement energy-saving measures. These factors contribute to a complex landscape in the global natural gas market, with various countries jostling for supply and grappling with geopolitical uncertainties.
Source: YAHOO