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Coal-to-Gas Switching Could Give Mid €20s Floor to TTF: Goldman

NATURAL GAS

A TTF price decline down to the mid €20s/MWh level could be a temporary floor for gas prices according to a Goldman Sachs note on 21 May.

  • The price level should result in approximately 9-12mcm/d of additional gas demand from coal-to-gas switching in power generation.
  • The demand boost could support prices until industrial demand and Asia LNG imports improve and could pull gas prices higher into late summer.

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