Europe Is Short Of Natural Gas Amid Missing Russian Flows: Chevron

Europe is short of energy and natural gas as 40% of its natural gas imports used to be imported from Russia, Chevron VP of Midstream, Colin Parfitt, said.

• “Fundamentally, Europe is short of energy, and it is short of gas.
• “What we have seen in the last year, is more LNG from the United States, from the Middle East supplying to Europe. But fundamentally the world would have less Russian gas, because that gas is going nowhere.”
• He also said that many countries were against signing longer-term supply contracts for LNG at the beginning of the crisis last year, as countries were worried about the speed of the energy transition, however, more European counterparts have been opening up to longer gas contracts of ten years and more as they see gas part of the energy transition.
• “We fundamentally believe that natural gas is part of a long-term solution, it is not just a transition to get from a to b.”
• “It takes 3-5 years to get new molecules from the US to new markets. We saw last year a lot of FIDs for US LNG but it takes about 3-5 years to get all of that working.”