Asian LNG sellers are combining leftover gas into full shipments to help meet European demand ahead of winter, report says

• Asian sellers of LNG are feeding Europe patchwork gas shipments amid its energy crisis.
• The cargoes comprise a mixture of leftover gas from Australia and Oman sent to Asian customers.

Asian sellers of liquefied natural gas are fusing leftover fuel into full shipments and sending them to Europe, helping the continent stock up on energy before winter arrives.

Bloomberg reported that extra LNG from Australia and Oman to customers in northeast Asia were mixed into a full shipments at sea in what is known as ship-to-ship transfers.

Europe is battling a crippling energy crisis after Russia reduced shipments after Western sanctions were imposed following Vladimir Putin's invasion of Ukraine.

That has prompted countries including Germany, France and Italy to find new supplies ahead of the colder months. Such nations have shifted to alternative fuels like coal, drafted energy saving plans and are even rationing energy to deal with the crisis.

Those efforts are now being rewarded in the form of patchwork LNG supplies from Asia that's allowing Europe to meet its gas storage targets heading into winter. According to a Rystad Energy note, European gas storage is now 80% full.

"Europe is in full bunkering mode and taking no chances with Russian supplies heading into the winter," said senior Rystad Energy analyst Wei Xiong in the note.

The latest shipment of patchwork LNG cargoes that arrived in Europe last week comprised of Australian and Qatari gas, Bloomberg reported. Earlier this month a UK tanker called British Partner received partial cargoes of Oman and Qatari gas at sea off Malaysia.

Despite healthy European gas storage levels, there is still risk to winter supplies after Gazprom shut down the Nord Stream 1 pipeline for three days for maintenance, and suspended flows to French utility Engie over payment issues.

Europe may also face competition from Asian importers of natural gas when winter approaches amid transfers of patchwork LNG cargoes, and as Asian buyers return to buying gas on the spot market to meet peak winter demand, Xiong added.