May 16, 2022 11:47 GMT
LNG flows into Europe look set to remain healthy on expected tankers and encouraging spreads.
- At least 15 more LNG vessels are expected into NW Europe by the end of the month according to Bloomberg LNG tracker.
- LNG imports into NW and Eastern Europe have been increasing all year to the latest weekly average of 284k tonnes.
- JKM spread to TTF has closed in last couple of days, but JKM remains at a strong discount of -5$/mmbtu to TTF. The spread has been as high as -10$/mmbtu on a couple of occasions this month.
- The Jul22 US netback to Europe is currently 20.9$/mmbtu compared to 11.74$/mmbtu to Asia according to Bloomberg data. The spreads look in favour of flows to Europe throughout the summer.