MOSCOW, May 10. /TASS/. In early May, the pace of gas injection into underground storage (UGS) facilities in Europe was 29% lower than the figures for 2022. At the same time, the occupancy of storage facilities exceeded 62%. Liquefied natural gas (LNG) supplies in the EU are at an all-time high, and gas is trading at the early July 2021 level at around $400 per 1,000 cubic meters. Meanwhile, Gazprom provides gas to Europe via Ukraine in the amount of 40.6 mln cubic meters per day via the Sudzha gas pumping station, which is 23% more than the previous day.

"Gazprom is supplying Russian gas for transit through the territory of Ukraine in the amount confirmed by the Ukrainian side via the Sudzha gas pumping station, [amounting to] 40.6 mln cubic meters on May 10. The application for deliveries through Sokhanovka was rejected," Gazprom’s representative said. The day before, the pumping volume reached 32.9 mln cubic meters.

The transit line through Ukraine remains the only route for Russian gas supplies to the countries of Western and Central Europe. Pumping through the Nord Stream has been completely stopped. Gas supplies via Turkish Stream and Blue Stream are intended for Turkey and the countries of Southern and South-Eastern Europe.

In May 2022, the Gas Transmission System Operator of Ukraine said it would shut down gas transit to Europe via the Sokhranovka station due to force majeure as the company allegedly could not control the Novopskov gas compressor station in the Lugansk region. As a result, transportation requests would be rejected, and gas wouldn’t be accepted. However, the Russian gas holding did not see any grounds for the suspension of pumping under the previous arrangement, noting that it did not receive any confirmation of any force majeure circumstances. The company added that it was technically impossible to shift all transit volumes to another interconnection point, the Sudzha gas distribution station in Russia’s Kursk region.

Current state of the European gas market

According to Gas Infrastructure Europe (GIE), gas withdrawals from UGS facilities in EU countries totaled 30 mln cubic meters on May 8. At the same time, the injection volume reached 337 mln cubic meters.

On April 6, the gas withdrawal season from European underground storage facilities came to an end. A mild winter greatly aided Europe's heating season. However, replenishing gas reserves in UGS facilities to last year's levels may prove difficult for Europe due to politically motivated refusal of Russian pipeline gas and rising competition for LNG, Gazprom said.

UGS facilities in Europe are currently 62.04% full, which is 19.37 percentage points higher than the five-year average for the date, with 67.7 bln cubic meters of gas. Meanwhile, wind generation accounted for approximately 14% of total EU electricity generation in May.

LNG imports from terminals into Europe's gas transmission system reached an all-time high of 12.07 bln cubic meters in April, according to data from the European Union. In May, Europe continues to see record LNG flows. At the same time, the average European gas purchase price in May fell to $420 per 1,000 cubic meters.