Gas Summary at European Close: TTF Moderates Losses

TTF front month is recovering earlier losses with an increase in Norwegian outages. However, it remains down on the day due to easing supply concerns and the gradual return of Freeport LNG.

• TTF AUG 24 down 0.9% at 31.88€/MWh
• Temperatures in NW Europe are forecast near normal in the coming days but could edge back slightly above normal into the weekend and through the second week of the outlook.
• Norwegian pipeline supplies to Europe are today nominated at 322.9mcm/d with Gassco showing outages until July 28 peaking at 40mcm/d on July 24.
• European gas storage injections have risen to 82.53% full on July 20 according to GIE compared to the five-year average of 73.0% with steady injection rates.
• The risk of a natural gas cut-off for Austria’s OMV seemingly passes for another month according to ICIS analyst Tom Marzec-Manser.
• Freeport LNG is on target to reach about half of its capacity on Monday according to preliminary LSEG data following its post Beryl restart.
• Global gas consumption is set to reach a record high of 4200bcm this year after growing by an estimated 3% yoy in the first half of 2024, according to IEA analyst Greg Molnar.
• The European gas price rally from February lows, despite softening balances, underlines the impact of Asian demand, according to the OIES Quarterly Gas Market Review.
• The pace of US LNG contracting in H1 2024 nearly matches the pace seen a year earlier, according to Energy Intelligence.
• South Korea’s KOMIPO has cancelled plans to build an LNG import terminal, Reuters said.
• Italy’s ENI plans to start up its second LNG facility offshore the Republic of Congo by the end of 2025, Platts said.