European Gas Prices Decline
European natural gas prices fell below €73/MWh on Friday, paring recent gains, as softer Asian LNG demand and higher US supplies offered some relief to the European market. US LNG exports rose to 10.9 million tonnes in September, with Europe receiving 5.91 million tonnes, or 54% of total shipments, as buyers refilled inventories ahead of winter. Meanwhile, weaker Chinese LNG demand could free up additional cargoes for Europe, easing competition for spot supplies. Still, EU gas storage is around 71% full, below the five-year seasonal average of 87%, while Germany’s inventories are just above 57%. QatarEnergy has extended force majeure on LNG deliveries to Italy’s Edison until December, while some Qatar-linked LNG vessels have resumed transits through the Strait of Hormuz in recent weeks. Low storage levels leave Europe more exposed to disruptions, as the prospect of renewed US military action against Iran raises concerns over flows through the key shipping route.
European natural gas prices fell below €73/MWh on Friday, paring recent gains, as softer Asian LNG demand and higher US supplies offered some relief to the European market. 91 million tonnes, or 54% of total shipments, as buyers refilled inventories ahead of winter. Meanwhile, weaker Chinese LNG demand could free up additional cargoes for Europe, easing competition for spot supplies. Still, EU gas storage is around 71% full, below the five-year seasonal average of 87%, while Germany’s inventories are just above 57%.
QatarEnergy has extended force majeure on LNG deliveries to Italy’s Edison until December, while some Qatar-linked LNG vessels have resumed transits through the Strait of Hormuz in recent weeks. Low storage levels leave Europe more exposed to disruptions, as the prospect of renewed US military action against Iran raises concerns over flows through the key shipping route.