Gas Summary at European Close: TTF Climbing

TTF front month is set for its highest close since Feb. 2, as some short-term colder weather, reduced Norwegian imports, and the start-up of injection demand add support.

• TTF APR 24 up 0.6% at 29€/MWh
• TTF SUM 24 up 0.4% at 29.05€/MWh
• The weather in NW Europe is above normal this week but expected to cool over the coming weekend.
• European industrial gas demand is expecting a moderate rebound in 2024 rising by about 5.5bcm according to Wood Mackenzie
• European gas storage was up at 59.67% full on Mar. 17 according to GIE with net withdrawal rates falling as low as 361GWh/d on Mar. 16. The seasonal five-year average is 42.13%.
• Norwegian pipeline supplies to Europe are today nominated down to 320.8mcm/d.
• Sabotage of EU’s gas and power infrastructure by Russia is a clear threat according to a senior NATO official via Montel.
• Europe must develop more infrastructure if it is to replace Russian gas as comprehensively as it has done for crude oil, gas executives said a CERAWeek.
• LNG price discounts in NWE to pipeline TTF have tightened to multi-month narrow levels, according to Platts.
• The trend for European coal to gas fuel switching is expected to continue this year according to Rystad Energy via Reuters.
• The total estimated quantity of LNG on tankers that have not unloaded for at least 20 days rose by 10% last week to 3.76m mt as of 17 March.
• Average LNG shipments from Nigeria’s Bonny Island facility so far in March are around a third below January-February levels: Bloomberg