Norway gas exports to EU close to record 2017 high
Norwegian pipeline gas exports to Europe could approach a 2017 historic record this year, after rising 10pc so far in 2024 following a decline in 2023, the head of system operator Gassco told Reuters.
“This year to date, we are in a way back to the levels we were at in 2022,” when exports were last near the all-time high, Gassco CEO Frode Leversund said on the sidelines of an energy conference.
Following Moscow’s invasion of Ukraine in 2022 and reduced shipments of Russian gas, Norway has become Europe’s largest gas supplier.
As of the end of July, Norwegian piped gas volumes totalled 70.2 billion cubic metres (bcm), compared with 64 bcm for the same period last year, Mr Leversund said, marking the first time Gassco provided accumulated delivery volumes for 2024.
The increase was due to strong demand from European customers, high system availability, less heavy maintenance and upgrades at the Kollsnes processing plant, the CEO added.
In 2023, Gassco delivered 109.1 billion cubic metres (bcm) of gas through its 8,800-km pipeline network to Belgium, Britain, France, Germany and Denmark, down 6.7pc from 116.9 bcm a year earlier.
A 10pc rise over the full year could see deliveries surpassing the record of 117.4 bcm reached in 2017.
“I’m not going to say that there will be an export record, but we will see figures around the highest deliveries we have had based on current assumptions,” Mr Leversund said.
About 95pc of Norway’s gas exports go via pipelines, while another 5pc comes from liquefied natural gas outside of Gassco’s system. The Norwegian gas system is entering its peak maintenance season from the end of August, timed to ensure it is in shape for crucial winter demand.
Given Norway’s dominant supplier position, any unforeseen problems and delays can quickly move gas prices higher.
The safety of the Norwegian system has also come under closer scrutiny since the destruction of the Russian-German Nord Stream subsea gas pipelines in 2022, with Gassco regularly surveying Norwegian pipes.
“This year we have carried out a comprehensive pipe inspection, though I don’t want to go into detail about which pipes and which landing points,” Mr Leversund said. On Monday, security services from seven European countries briefed Norwegian energy executives about what they saw as Russian threats to critical infrastructure.