Equinor will transfer a gas storage portfolio of 30 terawatt-hours (TWh) to its energy trading subsidiary, Danske Commodities (DC), the firm said, in a statement Thursday.
The transfer will increase DC’s current portfolio significantly and represents a capacity similar to the entire annual electricity consumption of Denmark, Kallanish Energy reports.
The portfolio includes gas storage contracts across four European liquid markets, which will be gradually transferred upon approval by storage operators. When the transfers have been completed, DC will be active in 23 gas markets.
According to DC, the decision is a result of Equinor’s commercial strategy, which sees the company focusing on trading activities linked to maximizing the value of its large equity portfolio of natural gas, while short-term opportunistic gas trading is managed by its wholly-owned subsidiary.
Equinor is the second-largest supplier of gas to Europe, providing roughly 25% of its demand. Last year, Equinor sold 100 billion cubic meters of gas globally.
This post appeared first on Kallanish Energy News.