Norway’s natural gas exports increased in 2024

Norway’s gas exports have increased this year. So much so, they are on track to challenge all-time records, with pipeline shipments to Europe up 10% year-on-year. This year’s increase follows the 2023 break and positions Norway as Europe’s main gas supplier after Russian exports dwindled following the invasion of Ukraine. Gassco, Norway’s system operator, reported that 70.2 billion cubic meters (bcm) of gas had been delivered by the end of July, compared with 64 billion cubic meters in the same period last year.

Strong European demand, high system availability and low maintenance at the Kollsnes processing plant contributed to the growth, Gasco CEO Frode Leversund told Reuters.

Leversund noted that if the trend continues, Norway could approach or even surpass its 2017 record of 117.4 bcm. While Leversund is cautious about declaring a new export record, he acknowledges that the 2024 figures will likely rank among the highest in history.

Norway’s gas export system – an 8,800km pipeline network supplying Belgium, the UK, France, Germany and Denmark – is crucial to Europe’s energy stability. It is also crucial for Norway, with 95% of its gas exports delivered by pipeline. EU gas inventories – a commonly used measure that assesses the Union’s energy preparedness for the heating season – are currently 86.7% full, Saco Bank’s head of commodity strategy Ole Hansen said last week.

Any interruption in the flow of natural gas from Norway – during the maintenance season, for example – could affect gas prices. The security of this network has come under increased scrutiny since the sabotage of the Nord Stream pipeline in 2022, Gassco has increased its inspection efforts.

Norway supplies around 30% of Europe’s natural gas.

By Julianne Geiger for Oilprice.com

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