European traders are increasing gas flow to Ukraine.
Ukraine expects a jump in natural gas flow from the EU as traders are interested in its spare storage capacity to stockpile fuel for the coming winter. With European inventories already fuller than usual, market players are looking at Ukraine as a risky destination but one with huge storage sites and lower fees.
In the nation’s network capacity bookings that traders are making to ship fuel into Ukraine are expected to rise in the third quarter. Bookings made with European networks bordering Ukraine already signal a potential flow of 18.2 million cubic meters daily in the third quarter, the network operator’s media service said.
Capacity auctions held by the Ukraine have confirmed 6.9 million cubic meters a day for July and 3.5 million cubic meters a day for the quarter, but more volume could be reserved later, officials said.
Ukraine has offered European traders more than 10 billion cubic meters of its underground storage facilities, roughly a third of its vast capacities.