German LNG Terminals Seek to Replace Russian Gas Pipelines
Germany is putting into operation natural gas import terminals as part of efforts to replace piped Russian gas following Moscow's invasion of Ukraine in 2022.Its first move has been to deploy floating storage regasification units (FSRUs) to receive seaborne LNG, while long-term it is planning shore-based facilities to import and produce ammonia and green hydrogen.Here are details of the latest developments:
Russell: ADNOC must offer more than just money to make the Santos deal work.
Abu Dhabi National Oil Company's (ADNOC) $18.7billion bid for Australian liquefied gas producer Santos faces a much higher hurdle than the money offered. The politics surrounding the deal, which would represent Australia's biggest-ever cash takeover in history, are becoming increasingly difficult to overcome. ADNOC, Australia's second largest oil and gas company launched its bid in June…
Russell: ADNOC must offer more than just money to make the Santos deal work.
Abu Dhabi National Oil Company's (ADNOC) $18,7 billion bid for Australian liquefied gas producer Santos faces a much higher hurdle than the money offered. The politics surrounding the deal, which would represent Australia's biggest-ever cash takeover in history, are becoming increasingly difficult to overcome. ADNOC began its bid in June for Santos, Australia’s second largest oil and gas company.
PetroChina's H1 profits down 5.4% from the previous record
PetroChina, China's largest gas and oil company, reported a 5.4% drop in its first-half net profit compared to a record set a year ago, due to lower oil prices. According to a filing at the Hong Kong Stock Exchange, the net profit was 84 billion Yuan ($11.7billion), down from the 88.8billion yuan of the same period in last year. Revenues fell 6.7%, to 1.45trillion yuan.
Maguire: US gas-heavy pipeline to fuel tensions with LNG exporters
U.S. energy firms are building the largest gas-fired generation capacity in the world, cementing the position of the United States as the world's biggest natural gas consumer and the gas-fired producer. The growing dependence on natural gas in the domestic power sector will also exacerbate tensions between the rapidly expanding LNG export sector and the domestic power industry…
Maguire: US gas-heavy pipeline to fuel tensions with LNG exporters
U.S. energy firms are building the largest gas-fired generation capacity in the world, cementing the position of the United States as the world's biggest natural gas consumer and the gas-fired producer. The growing dependence on natural gas in the domestic power sector will also exacerbate tensions between the rapidly expanding LNG export sector and the domestic power industry…
Prices of gas in Europe are rising as Norwegian supplies increase.
The Dutch and British gas wholesale prices were trading in a narrow band early on Tuesday, as the higher temperatures in Europe restricted heating use. Meanwhile, the cooling demand and low winds generation mainly affected the power market. LSEG data shows that the benchmark Dutch front-month contract was up 0.37 euros at 33.40 Euro per megawatt-hour or $11.55/mmBtu at 0848 GMT.
Low wind and hot weather will increase spot prices
German and French power contract prices for the next week will rise due to low wind output, which is limiting supply. Hot weather also increases demand. However, more forward-looking contracts were at a lower price on Friday morning in line with gas market. LSEG data shows that the German and French baseload power contracts for Monday were not traded by 0926 GMT.
The price of gas in Europe has fallen from its 11-week peak, but Middle East concerns remain dominant
The Dutch and British wholesale prices of gas largely eased Friday morning, after reaching new 11-week-highs on Thursday. However, they remain volatile due to the possibility of an escalation of the Israel-Iran dispute and possible U.S. participation. LSEG data shows that the benchmark Dutch front-month contract for the TTF hub fell 0.23 euros to 40.05 Euro per megawatt hour by 849 GMT.
Prices of EUROPE GAS firm due to higher demand, French nuclear concerns and hot weather
The Dutch and British wholesale gas price rose on Wednesday morning. This was due to the rising electricity prices in France, increased cooling demand and Europe's need for gas storage sites. LSEG data shows that the benchmark Dutch front-month contract was up 0.72 euros at 35.50 Euro per megawatt hour or $11.90/mmBtu at 0837 GMT. The price of August was 0.75 euros higher, at 35.85 Euro/MWh.
The price of gas in Europe is falling amid strong wind output
The Dutch and British wholesale prices of gas fell on Wednesday after increasing the previous day, as stronger wind production offset lower solar output, and supply was stable. LSEG data shows that the benchmark Dutch front-month contract for the TTF hub fell by 0.20 euros to 35.80 Euro per megawatt hour at 0747 GMT. The British front-month contracts was 0.61 pence less at 83.29 cents per therm.
How can the EU ban Russian Gas?
Next month, the European Commission will propose legal measures that will phase out EU gas imports from Russia by 2027 and prohibit spot contracts with Russia before the end this year. This is how it could work. How will the EU ban Russian gas? Legally, sanctions are the easiest way for the EU's to prohibit Russian gas and liquefied imports. They require the unanimous approval of all 27 EU member states.
Equinor's executive states that Europe needs to compete on prices for gas refilling.
A senior Equinor executive said that Europe might need to continue offering attractive prices in order to secure the additional 30 billion cubic meters (bcm), of liquefied gas (LNG), needed to replenish their storage levels. Equinor estimated that Europe would require around 250-300 additional LNG cargoes in comparison to last year, to fill storage tanks that were left empty by two-thirds after the winter.
Kremlin: Russia and US have begun talks about Russian gas flowing to Europe
A Kremlin official confirmed on Friday that the issue of Russian gas shipments into Europe was being discussed in talks between Russia, and the United States. This confirms an exclusive report from a day before. After the Nord Stream pipes under the Baltic Sea blew up in 2022, Russian gas exports into Europe were slashed. Gas flows…
EUROPE GAS-Prices remain volatile amid tariff, gas storage target uncertainty
The Dutch and British gas price are not clear on Friday, but they remain close to recent multi-month-lows. This is because the market continues grappling with the effects of the U.S. trade war induced by tariffs on the global economic situation and the EU countries meeting to discuss filling gas storage targets. LSEG data shows…
EUROPE GAS-Global trade fears fuel market volatility
Dutch and British gas rates recovered some of their earlier losses, after increasing on Monday. However, they then fell back down again as fears about a global war leading to a weaker demand for energy fuelled volatility. LSEG data shows that the benchmark Dutch front-month contract fell 0.55 euros, or $11.55/mmBtu to 35.90 Euros per megawatt hour.
Gas giants claim that Australia's opposition plan to reserve supplies may worsen the shortage
Gas giants around the world said that a proposal made by Australia's coalition of opposition to force producers to divert more gas from exports into the domestic market in an attempt to win votes would discourage investment and not solve the looming gas shortages. The conservative Liberal-National Coalition has pledged to lower power bills by implementing a gas reservations scheme.
Prices of gas in Europe drop ahead of Trump-Putin call
Dutch and British wholesale prices for gas eased Tuesday morning, as the market awaited news of a possible peace agreement between Russia and Ukraine. However, low storage levels are still a concern while weather forecasts remain mixed. LSEG data shows that the Dutch front-month contract has dropped by 0.55 euros to 40.65 Euro per megawatt hour at 0917 GMT.
German Gas Storage Group urges clarification on summer filling policy
Storage operators' group INES warned on Thursday that if the German government does not decide to fill up gas caverns in time for winter, there may be shortages. The ongoing discussions over the formation a new government and the fact that the summer prices are higher than the winter prices complicate the task. Some market participants bet that Germany will need to subsidise feed-in.
Sources say that most EU countries support softer storage targets for gas
In a meeting held behind closed doors on Wednesday, a majority of European Union member countries supported plans to relax some of the bloc’s binding gas storage targets when they were extended until 2026-2027. EU diplomats confirmed this. Germany, France, and the Netherlands warned that the EU's deadlines for filling gas storage were pushing prices up.