Ukraine's Storage Volume Near Target

Ukraine's storage inventory is near the target for the start of the heating season with still another two or three months to go. Taking advantage of low wholesale prices and aware of the risk to gas supplies from Russia from next January, shippers have been injecting gas fast, with 2.3bn m³ more in store now than at the start of July. Injections in June were at a comparable rate, adding 2.2bn m³.

Data published by storage operator Naftogaz Ukrainy August 2 show that there are 15.9bn m³ in store, compared with about 13bn m³ at the same time (July 31) in the past two years. Maintaining this rate of injection will bring stocks to 20.5bn m³ by September 30, and a mild autumn could see net injections continuing, if at a lower rate, through to late October.

Last month, Naftogaz Ukrainy said there needed to be about 20bn m³ of gas in store to cover the winter. It has not broken down the volume into gas that belongs to it and gas that has been injected by third parties.