Spain is poised to become Europe's largest natural gas distribution hub.

According to data from Gas Infrastructure Europe (GIE), Spain holds 35% of the EU’s (plus the UK’s) gas storage capacity, compared with 14% for France, 6% for Belgium, and 5% for Italy. Spain is the European country with the most LNG regasification facilities—and also the highest gas storage capacity. Europe’s largest LNG import terminal is located in Spain (Barcelona). Spain operates seven regasification plants—six on the Spanish mainland and one in Portugal—out of a total of 20 across the entire EU, giving Spain a 30% share. This gives Spain a unique advantage in both regasification and storage capacity. On August 24 local time, Spanish Prime Minister Pedro Sánchez announced in a speech that the government would launch the Pyrenees Energy Interconnection Project (Plan A) between the Iberian Peninsula and France—but added, “If France rejects this project, Spain will have to implement Plan B,” which includes establishing an energy interconnection between Spain and Italy. Teresa Ribera, Spain’s Minister for Ecological Transition and the Demographic Challenge, stated that if France and other European countries approve the project, a new natural gas pipeline from Spain to France could be completed within one year, boosting Spain’s natural gas export capacity by 20% to 30%. The pipeline infrastructure would run along the southern side of the Spain–France border—that is, from the Pyrenees into Spanish territory—and would double the volume of natural gas delivered to France via this route, thereby supplying energy to inland European countries and reducing Europe’s dependence on Russian energy.

Dozens of LNG vessels are drifting at sea, unable to unload cargo promptly.

Due to insufficient LNG terminals and gas transmission pipelines, regasification plant storage tanks are nearly full, preventing timely delivery of natural gas to European countries—a situation exposing Europe’s severe shortage of regasification capacity. According to sources speaking on Monday, more than 35 LNG-carrying vessels are drifting off the coast of Spain and the Mediterranean region, with at least eight anchored near the Bay of Cádiz. This cargo backlog has raised concerns about Europe’s ability to handle LNG supplies to compensate for the shortfall in Russian pipeline gas. An industry source noted that Spain offered only six cargo berths this week at its regasification terminals—fewer than one-fifth of the number of vessels queuing offshore. The country operates six such terminals in total. Spain’s national gas grid operator, Enagás, issued a statement late Monday titled “Statement on Abnormal Operational Conditions,” warning that it might have to reject LNG unloading due to terminal capacity saturation. It added that high utilization rates at the country’s regasification plants are expected to persist until at least the first week of November. A source familiar with the situation said LNG vessels are also anchored near other European countries, suggesting dozens more may be waiting. The shortage of pipelines linking regasification plants—or the countries hosting them—to other European markets means that LNG floating at sea cannot be utilized. Alex Froley, LNG analyst at data intelligence firm ICIS, commented: “We’re seeing large volumes of cargoes waiting off southern Spain or drifting in the Mediterranean, and others waiting near the UK.” Europe’s economic slowdown has led to declining industrial demand.

Spanish Regulator Sets 6.46% Return for Trunk Gas Network and Regasification

Sep 18, 2026

Spain's CNMC approved a 6.46% financial return rate for gas transport and regasification activities for 2027-32, impacting operators like Enagas, with new rules effective October 2026.

reuters

2026-09-18

Spanish Regulator Sets 6.46% Return for Trunk Gas Network and Regasification

Spanish Regulator Sets 6.46% Return for Trunk Gas Network and Regasification

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