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Europe began pumping gas into UGS facilities in December

The thaw led to lower prices in the European market. On Friday, the TTF hub delivery contract in the Netherlands closed at $868.

European countries have started pumping natural gas into their underground storage facilities amid hot weather and a drop in demand due to the upcoming holidays. Interfax reported this on Monday, December 26.

The weather may be even hotter this week than last week. This means that the operating mode of the system can continue until the end of the Christmas holidays – until Wednesday, the message said.

The current inventory level in Europe is 82.98%, which is 10.8% higher than the average for the same date in the last five years, according to Gas Infrastructure Europe (GIE).

On the gas day on December 24, reserves increased by 0.11%. This was the first gas day since the start of the withdrawal period (November 14) when injection once again exceeded withdrawal.

European LNG receiving terminals have been operating at 67% capacity since the beginning of December, with the same average for November. LNG stocks in the tanks of receiving terminals are decreasing (by 10% compared to the average level of November) – this indicates that new batches of liquefied gas will arrive in Europe more slowly than its consumption by the market.

The thaw also led to lower prices in the European market. On Friday, a day-ahead contract at the TTF hub in the Netherlands closed at $868 per 1,000 cubic meters. January futures – $932.

It will be recalled that on December 19, EU countries reached an agreement on setting a gas price limit of 180 euros per MWh, or approximately 1,850 euros per thousand cubic meters. The Kremlin called this decision “unacceptable.”

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Source: korrespondent

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