Mid-Day Gas Summary: TTF Tracks Weekly Net Decline

Front month TTF has erased earlier gains with support from a drop in Norwegian pipeline supplies to trade mostly flat on the day. Prices, however, are tracking a weekly net decline amid bearish short-term fundamentals at the start of the storage net injection season.

• TTF MAY 24 down 0% at 26.2€/MWh
• TTF Q3 24 up 0.1% at 26.93€/MWh
• TTF WIN 24 up 0.4% at 31.25€/MWh
• The TTF May 24 – Q3 24 spread has fallen from nearly -0.2€/MWh in mid March a low of -0.75€/MWh as high end of winter season gas storage levels and muted demand in Europe due to warm weather weigh on the front of the curve.
• Norwegian pipeline supplies to Europe are today nominated down to 344.7mcm/d with unplanned process problems at Gullfaks adding to the ongoing planned outage at Kasto.
• The NW and central European weather forecast is showing temperatures well above normal in the coming days before gradually cooling into the middle of the month. The current forecast suggest closer to normal temperatures could be expected from around Apr. 17.
• European gas storage was up to 59.44% full on Apr. 3 according to GIE after the start of net injections last week. The seasonal five year average is 42.2% full with last year at 55.9%.
• European LNG sendout was up to 349mcm/d on Apr. 3 after falling as low as 264mcm/d over last weekend.
• The new 5.5bcm Alexandroupolis LNG import terminal in Greece is set to receive the second LNG cargo in May according to LNG Prime.
• Russian pipeline gas and LNG imports into Europe should be reduced slowly to avoid damaging the market according to Motel citing French economy minister Bruno Le Maire.
• Asian spot LNG prices were largely unchanged on the week, holding at a six-week high of $9.50/MMBtu for the third successive week, according to Reuters.