The UK is expected to lead the Europe’s planned and announced working gas capacity additions in underground gas storage sites, contributing approximately 29% of the total Europe capacity additions by 2026.
That is according to global data and analytics company, GlobalData, in its report entitled: Underground Gas Storage Capacity and Capital Expenditure (CapEx) Forecast by Region, Countries and Companies including details of New Build and Expansion (Announcements and Cancellations) Projects, 2022-2026.”
The report reveals that the UK is expected to witness 256 bcf of capacity additions from planned and announced projects during the outlook period.
Sudarshini Ennelli, Oil and Gas Analyst at GlobalData, says: “The Deborah depleted oil and gas field project drives the working capacity additions in the UK with 174.5 bcf. Expected to be operational by 2023, Eni SpA is the operator as well as 100% equity holder of the project. It helps to meet the gas demand in the UK as well as caters to the Western European gas markets.”
The Islandmagee I Salt Cavern is another significant project in the UK with a working capacity of 18 bcf. The project is expected to be operational by 2025. Islandmagee Storage Ltd is the operator while Harland & Wolff Group Holdings plc is 100% equity holder. The project is expected to supply gas for Ireland and the UK mainland.
Ennelli concludes: “Italy stands second in terms of capacity additions in Europe with 166 bcf from planned and announced projects during the outlook period, followed by Bulgaria, Germany, and Slovakia with 69 bcf, 67 bcf, and 65 bcf, respectively.”
The report comes as Britain and Europe reels with record inflation and soaring gas prices and shortages largely due to the consequences of Russia’s invasion of Ukraine.
