London: The European gas market is set for significant changes, as it embraces a wider array of sources and strengthens its global connections. The continent is moving away from reliance on a single main supply route, aiming for a diversified supply chain and robust market linkages.
According to Azerbaijan State News Agency, Europe will increasingly depend on a mix of gas supplies through pipelines from Norway, North Africa, and Azerbaijan. This will be complemented by a surge in LNG imports, primarily from the United States. Officials from MET Group, a significant player in the European natural gas market, assert that the future of gas in Europe involves diversified sources and fortified market connections. In 2025, MET Group traded a total volume of 242 billion cubic meters of natural gas, accounting for about 50% of Europe's total natural gas and LNG consumption.
Norway plays a crucial role as a major supplier, boasting one of the world's most extensive networks of submarine pipelines. By 2026, Norway is anticipated to supply approximately 30% of the EU's total gas imports and over 50% of pipeline imports, as per Eurostat. Its pipelines connect directly to significant gas hubs in Germany, Belgium, France, and the UK, ensuring reliable supplies through around 8,800 km of submarine pipelines.
Additionally, the Southern Gas Corridor, primarily supplied by Azerbaijan, spans seven countries over approximately 3,500 km and is continually expanding. With the Trans-Adriatic and Trans-Anatolian pipelines, gas can now be delivered deeper into Southern and Central Europe, reaching countries like Austria and Germany.
The Institute for Energy Economics and Financial Analysis (IEEFA) reports that Europe sources 57% of its LNG from the United States, a figure that has tripled since 2021. MET Group has been active in securing LNG supply agreements, such as a 10-year deal with Shell for U.S. LNG.
By 2026, Europe's LNG-receiving infrastructure is expected to match demand. Germany, which lacked LNG terminals before 2022, now operates a fleet of floating storage and regasification units, with permanent onshore terminals becoming operational. Analysts predict continued growth in U.S. LNG exports, with five new export projects starting operations and increasing production by the end of 2027.