Gas Summary at European Close: TTF Rallies

TTF is trading higher, although has pared some earlier gains after climbing to its highest since June 3. Support comes from the risk of LNG competition from Asia.

• TTF JUL 24 up 1.3% at 35.77€/MWh
• TTF Q3 24 up 1.3% at 36.15€/MWh
• Chevron has deferred several cargoes due to the Wheatstone outage and Bloomberg sources suggest domestic gas resumption on June 27 although LNG production could start before.
• Chevron said repair works at Wheatstone LNG will be complete in the “coming weeks”, later than previous market expectations.
• Brunei LNG has exported its first cargo since its recent outage in May.
• Norwegian pipeline supplies to Europe are today unchanged at 330.9mcm/d with ongoing outages at Visund and Karsto.
• Temperatures in NW and central Europe are still forecast to gradually increase over the coming week.
• European gas storage injections remain below normal as stores rise to 72.33% full on June 11 according to GIE compared to the five-year seasonal average of 61.3%.
• OMV’s long term Gazprom contract requires delivery at the border between Slovakia and Austria, a location it will insist upon for future deliveries its CEO said earlier Thursday.
• India’s GAIL has issued two LNG tenders for cargoes for delivery in July and August according to Reuters.
• Canada’s West Coast has room for multiple LNG export projects to meet a burgeoning global energy demand, industry participants said, cited by Platts.
• Venture Global has signed a non-binding agreement to supply LNG to D. Trading, the commercial arm of Ukraine power producer DTEK.
• Subsidiaries of Saudi Aramco and NextDecade have agreed a non-binding Heads of Agreement for the sale and purchase of LNG for 20 years from Train 4 at the Rio Grande LNG Facility in Texas.
• The EU and Ukraine have asked Azerbaijan to arrange discussions with Russia to facilitate a gas transit deal according to Reuters citing an Azeri presidential advisor.