IEA Sees Gas Market Tightness Extending Into 2027
Low European storage and disrupted Gulf LNG flows are expected to keep global gas supplies tight well into next year.
Key takeaways
- Europe entered the heating season with its lowest gas storage levels in over a decade.
- The IEA expects global LNG supply to fall 3% in 2026.
- Market tightness could continue well into 2027, the IEA said.
The global gas market could remain tight well into 2027, the International Energy Agency said, as Europe enters winter with its lowest gas storage levels in over a decade.
Disrupted LNG flows through the Strait of Hormuz have intensified competition between Europe and Asia for spot supplies. The IEA said regional gas and LNG prices had climbed to their highest levels since the 2022-2023 supply crisis.
LNG loadings from Qatar and the United Arab Emirates fell by more than 60 billion cubic meters between March and October. The agency expects global LNG supply to decline 3% in 2026, assuming Hormuz flows remain largely disrupted through year-end.
Low European inventories may increase the need to replenish storage during summer 2027, the IEA said, potentially extending market tightness into next year. QatarEnergy extended force majeure on LNG deliveries to most customers through the end of December 2026.
This article was produced with the help of AI technology. Based on reporting by the outlets listed above.
