The gas market in the EU shows signs of stabilization: prices are declining.

Natural gas prices in Europe remain low and have been for the past three weeks as the situation gradually improves after a challenging start to 2025.

The price per megawatt-hour of gas at the beginning of the week was approximately €50, after having decreased from a two-year high set earlier in the week. This is the lowest gas price level this year.

In recent weeks, Europe has witnessed rising gas prices due to cold weather, which led to increased consumption of gas from reserves. This raised some concerns about a potential gas shortage this summer. However, negotiations at the European Union level to ease gas storage requirements have helped alleviate some of these concerns.

The weather conditions are also favorable, as a rise in temperatures in the northwest is expected, which is above normal seasonal averages in the coming days. This makes the import of liquefied natural gas to Europe increasingly likely and slows the increase of reserves.

Analysts at Rystad Energy predict a decline in gas volumes in European underground storage to 43 billion cubic meters, which constitutes 39% of total filling. By the end of the heating season, at the end of March, this figure is expected to reach 48 billion cubic meters or 43%.

It is also important to note that the administration of U.S. President Donald Trump is trying to hasten the conclusion of the war in Ukraine, which increases hope for the return of some of the lost gas from Russia. However, any agreement on this matter is likely to take several months.