Gas Summary at European Close: TTF Finds Support

Front month TTF has extended gains throughout the day, reaching its highest level since Feb. 01. Today’s rise has come after finding some technical support and added upside from a downward revision in wind forecasts for NW Europe.

• TTF MAR 24 up 4.7% at 24.02€/MWh
• ICE has cut the margin requirements on European front-month TTF gas by another 31% to the lowest rate since July 2021.
• Temperatures in Europe are forecast to stay mild with unseasonably warm weather expected in the Nordic, central and eastern regions.
• Norwegian pipeline supplies to Europe are today almost unchanged from levels over the weekend with nominations at 345.1mcm/d.
• European gas storage is above the previous five-year range at 64.08% full on Feb 24 according to GIE data
• The Energos Power FSRU, with a regas capacity of 7.5bcm per year, has arrived at Germany’s Mukran LNG terminal.
• The amount of Qatari LNG shipped on FOB terms rather than delivered has risen, according to Qatar’s Energy Minister Saad Al-Kaabi, cited by Bloomberg.
• Qatar announced a new 16mtpa LNG project before 2030, lifting the country’s annual production capacity to 142mn tons by 2030, Qatar’s energy minister Saad Al-Kaabi said.
• Qatar’s latest announcement to further increase LNG export capacity is expected to lead to LNG oversupply, pushing down global gas prices and potentially leading to the cancellation of US LNG exports, Goldman Sachs said.
• China’s LNG import capacity could increase by a third in 2024 due to increased domestic investment in LNG infrastructure according to Oilchem.
• The first LNG exports from BP’s 2.5mtpa Tortue LNG project offshore Mauritania and Senegal have been further to delayed to 4Q 2024 according to Upstream Online.