Gas Summary at European Close: TTF Volatile

TTF is trading higher Friday amid volatility during the day. Front month has traded between 33.475-34.770 Eur/MWh. Upside comes from colder January weather forecasts and risks to LNG supplies passing the Red Sea. Providing downside are strong near-term supplies, high storage levels and longer-term demand switching.

• TTF JAN 24 up 0.5% at 34.36€/MWh
• TTF Q1 24 up 1.2% at 34.75€/MWh
• EU natural gas storage levels were at 88.36% as of Dec. 20, compared to the five-year average of 73.93%.
• Norwegian nominated flows to the UK and Northwest Europe terminals at 355.0 mcm/d today, vs 5-day moving avg 355.82 mcm/d.
• LNG flows to Northwest Europe on Dec. 20 were own to 228.90 mcm/d – compared to the 30-day average of 269.30 mcm/d.
• Russia’s hopes of boosting LNG shipments to offset lost pipeline flows to Europe may be hampered by a shortage of gas tankers, as well as sanctions, analysts told Reuters.
• China’s CNPC and CNOOC have asked the US government for sanctions exemptions on Russia’s new LNG export plant, Arctic LNG 2 according to Reuters sources.
• Venezuela will issue a license to Shell and Trinidad’s state-owned gas company for the export of natural gas to the Caribbean Island, according to Bloomberg.