The European gas market is in a state of flux, with the conflict in Iran causing a significant shift in the region's energy landscape. Europe's gas storage is at a five-year low, and the situation is only set to worsen as the summer refill period approaches. The region's reliance on liquefied natural gas (LNG) supplies has increased dramatically since the invasion of Ukraine in 2022, and the conflict in Iran is now exacerbating this dependence. What makes this particularly interesting is the impact on global LNG markets and the potential for a squeeze similar to the 2022 energy crisis. Europe's gas storage is a critical component of the region's energy security, and the scramble to refill it is a stark reminder of the fragility of the global energy supply chain. In my opinion, this situation highlights the need for a more diverse and resilient energy strategy for Europe, one that reduces reliance on any single supplier or market.
