The Netherlands' economy ministry will publish its final decision on whether more capacity can be used at the Bergermeer gas storage facility in September, possibly allowing operator Taqa to market some additional space before the winter.
A final decision is to be published next month, along with a summary of responses to the draft decision from February, the ministry told Argus today.
The ministry had in February issued a draft approval for Taqa's request to increase the gas pressure at Bergermeer. Lifting the maximum average reservoir pressure to 150 bar from 133 bar could allow for working gas capacity to be increased to 5.3bn m³ from 4.1bn m³.
And Taqa said last month that it "could still market some additional storage products before the winter" if a final decision in its favour is made this summer. The firm said at the time that it did not expect "to receive the permit until at least mid-August" because of the summer holiday period. "The specific timing as well as market conditions" will decide "if and how" the firm will offer additional products, Taqa had said.
No changes would be required to construction of the site, which could allow for more capacity to be made available quickly if a permit for expansion is granted.
That said, a number of stakeholders raised objections to the expansion in a consultation on the draft decision that ended in April, largely because of concerns over increased seismic risk.
In any event, should Taqa be able to offer at least some space, this could buoy European injection demand. Stocks across much of Europe — including at Bergermeer — have closed in on maximum capacity, requiring the stockbuild in the coming weeks to be much slower than in previous years. There could even be an incentive for firms to take up additional space at Bergermeer with a view to injections in October, if it is offered by Taqa. There was typically still a net stockbuild at northwest European sites in October in recent years. And October markets at the region's hub have held wide discounts to contracts for delivery later in the winter.
