NATGAS: Gas Summary at European Close: TTF Plunges

TTF extends the decline toward the lows from last week, passing through its first two support levels. The market is pricing lower risk to US LNG export supplies as the path of Tropical Storm Francine tracks east.

• TTF OCT 24 down 5.4% at 35.34€/MWh
• Norwegian pipeline supplies to Europe are today nominated at 190.4mcm/d, according to Bloomberg. Gassco shows outages of 175.4mcm/d today rising slightly to 181.9mcm/d on Sept. 12.
• European gas storage edges up to 92.99% full on Sep 8: GIE
• Ukraine is not discussing any deal to extend Russian gas transiting the country for Europe that is due to expire at the end of the year according to a Bloomberg interview with Ukrainian Energy Minister.
• Inpex’s Ichthy’s LNG facility in Australia is expected to run its train 1 with a 70% reduction as part of inspections: Reuters.
• The total estimated quantity of LNG on tankers that have not unloaded for at least 20 days increased by 10% last week to 4.26m tons as of Sept. 8, according to Bloomberg estimates.
• Global LNG demand rebounded up 20% in the week to Sep 8 to 7.84m mt, BNEF said.
• Hurricane Francine is a risk to US LNG export flows and Cameron LNG feedgas dropped about 41% on Monday evening according to Bloomberg data.
• Goldman sees short term downside risk for US natgas prices due to strong production and weak demand.
• Global LNG demand could rise 50% from current levels by 2040 if prices don’t surge, as consumption is seen staying stronger, Gunvor’s Chairman said.
• LNG could account for 50% of the total bunker fuel mix by 2040, Gunvor’s Chairman Torbjörn Törnqvist said, cited by Platts.