Bloomberg: Worsening of Natural Gas Crisis Threatens Europe

"Bloomberg", a US news agency,  warned of the devastating consequences of the worsening gas crisis in Europe.

And said that Europe faces the risk of running out of gas in the next two months due to freezing weather and a decrease in blue fuel reserves in warehouses.

Bloomberg reported that the Europeans have the coldest two months of winter ahead, so there are fears that Europe may be running out of gas.

The authors of the Bloomberg report talked about the existence of prior indications of the occurrence of this crisis, including the transition to renewable energy sources and the decline in domestic production (in Europe) of natural gas.

Last year, Europe witnessed a decline in electricity production due to the fluctuations of wind and solar energies.

For his part, Massimo Di Odardo, Vice President of the consulting firm Wood Mackenzie, indicated that the only way for Europe to overcome the current situation is to increase natural gas supplies from Russia through the current routes or by launching the "North Stream-2" project.

However, gas prices in Europe began to rise last spring, and the price of gas futures contracts in Europe rose to exceed the level of 1100 dollars per thousand cubic meters, and a day before that, contracts were traded at 800 dollars.

The value of gas futures in Europe, after dropping below $800 per thousand cubic meters in the past day, is now growing by 17% to exceed $1,100, according to data from the ICE Stock Exchange in London.

The value of the contracts, the execution futures for the month of next February, on the ICE Futures platform, at the start of trading, amounted to 10,208.2 dollars per thousand cubic meters.

On December 31, those prices fell below $800 for the first time since November 10.