Sources: India cuts gas supply to industries following Qatar outage
Four industry sources with knowledge of the situation said that Indian companies reduced their natural gas supply to industries on Tuesday in anticipation of a tighter Middle East supply after top producer Qatar stopped production. Qatar stopped its production of liquefied gas on Monday as Iran continued to attack Gulf countries in response to Israeli and U.S. attacks against it. These attacks have also stopped oil and gas shipments through the Strait of Hormuz. This has pushed up energy prices globally and increased shipping costs. India is the fourth largest LNG buyer in the world. It imports a large amount of LNG from the Middle East.
Sources: India cuts gas supply to industries following Qatar outage
Four industry sources said that Indian companies reduced their natural gas supply to industries on Tuesday in anticipation of a 'tighter supply' from the Middle East, after Qatar, the top producer, halted its production. Qatar stopped its production of liquefied gas on Monday as Iran continued to attack Gulf countries in response to Israeli and U.S. attacks against it. The attacks have also caused a halt to oil and gas shipping through the Strait of Hormuz and increased?global energy costs and shipping fees. India, which is the fourth largest LNG buyer in the world, relies heavily on Middle East imports.
Baker Hughes reports that US oil and gas drillers have cut back on rigs in the US for the first time in six-weeks.
Baker Hughes, an energy services company, said that the U.S. cut back on the number of natural gas and oil rigs for the first time since six weeks. The number of oil and gas drilling rigs, a good indicator of future production, dropped by one in the week ending February 27. This is the lowest level since late January. Baker Hughes reported that the total number of rigs is down 43 or 7% from this time last week. Baker Hughes reported that?oil?rigs dropped by two this week to 407, their lowest level since December. Gas?rigs increased by one, to 134, the highest level since July 2023.
The impact of renewable energy on spot prices
The European spot electricity contract for Friday was cancelled on the assumption that "demand" would continue to decline while "renewable generation" is expected to increase. By 0923 GMT, the German baseload for the day ahead was down 12.9% to 66.75?euros ($78.47). The French equivalent contract fell?37.3% to 12.85 euros/MWh. LSEG data revealed that German wind generation is expected to increase by 3.5 gigawatts, to 27.3 GW. French wind output will drop by 3.9 GW at 10 GW. The data also showed that the German solar power sector has grown by nearly?1 GW.
Spot prices drop on increased renewable output
The European baseload contracts fell on Wednesday due to a forecasted sharp rise in 'wind power supply', while the demand was expected?to fall. LSEG data shows that the German baseload day-ahead contract dropped 20.6% to 88.41 euros per megawatt at 0929 GMT. The French equivalent contract dropped 30% to 21 Euro/MWh. Data from LSEG showed that German wind power production is expected to increase by 9.9 gigawatts on Wednesday to 23.8 GW. Meanwhile, French?wind energy is projected to grow by 1.6 GW up to 6.1 GW. LSEG data revealed that power consumption in Germany will drop by 1.3 GW - to 60.5 GW - on Wednesday. In France, demand is expected to fall by 3.2 GW - to 53.5 GW.
French spot prices rise as wind power production falls
On?Monday the French spot power contract increased, buoyed primarily by falling wind 'power output in Germany. LSEG data shows that the French baseload day-ahead power was 33.25 euros ($39.23), up 20% on Friday's price for Monday delivery. LSEG data revealed that the German equivalent contract was not traded, after indicating gaps? in German day-ahead prices data during recent sessions. LSEG data revealed that German wind power 'output' is expected to decline by 30.3 gigawatts to?11.4 GW on Monday, while French wind generation is expected to decrease by 3.8 GW to 5.1 GW.
Baker Hughes reports that US drillers have kept the number of oil and natgas drilling rigs unchanged for a second consecutive week.
Baker Hughes, a leading energy services company, said that the number of oil and gas rigs in the United States remained unchanged this week for a second consecutive week. The number of oil and gas drilling rigs, a good indicator of future production, remained at 551 during the week ending February 20. This is the same as the previous week. Baker Hughes reported that despite the lack of movement this week, there were still 41 rigs or 7% less than this time last year. Baker Hughes reported that oil rigs remained at 409 this week while gas rigs remained at 133. Although the total number of rigs did not change, some energy companies added rigs to certain?states while others removed them.
German spot prices are affected by the sharp increase in wind power supply
On Wednesday, the German baseload contract fell on a forecast for a sharp increase in wind energy supply. The French contract rose on a slight rise in demand. LSEG data shows that the German baseload day-ahead power contract dropped 17.6% at 0850 GMT to 91.50 Euros ($108.29 per megawatt hour). The French equivalent contract increased 0.6% to 41 Euro/MWh. LSEG data revealed that German wind 'power output will surge by 17.4 Gigawatts on Wednesday to 27.6 GW. Meanwhile, French wind power production is projected to increase 270 Megawatts, to 12.6 GW. LSEG data shows that power consumption in Germany will increase by 2.3 GW this Wednesday to 65.9 GW.
Baker Hughes reports that US drillers have cut three oil rigs and added three gas rigs to their weekly count, while maintaining the same number of rigs.
Baker Hughes, a leading energy services company, said that the U.S. oil and gas companies this week reduced three oil rigs while adding three natural-gas rigs. The overall rig count remained unchanged. The 'oil and gas rig number, a leading indicator of future production, remained at 551 during the week ending February 13. Baker Hughes reported that the total count was down 37 rigs or 6% from this time last year. Baker Hughes reported that oil rigs dropped by three this week to 409, their lowest level since early January. Gas rigs, however, rose?by three, to 133, the highest level since July 2023.
Carbon weighs down on prices for the front year but spot prices are up because of less wind
German and French spot electricity prices rose Thursday morning, amid predictions of a?lower wind power generation. Meanwhile, a steep?drop in the European Carbon Market weighed on long-term prices. The French 'day-ahead' baseload power contract rose by 39.70 euros, to?54.25 euros per megawatt (MWh), at 1007 GMT. Meanwhile, the German contract had risen 3.50 euros, to 107 euros/MWh. He added that wind power production is expected to drop from a peak of 35 gigawatts at the beginning of the day down to 10?GW by the end of the day. This will increase the demand for more expensive, alternative generation. The French wind energy generation will also fall from 17.8 GW to 7?GW by Friday.
EIA: US natgas production to reach record highs in 2026 while demand remains steady
The U.S. Energy 'Information 'Administration stated in its Tuesday Short-Term Energy Outlook that U.S. Natural Gas output will reach a?record high in 2026 while demand will remain steady. EIA predicted dry gas production would rise from a new record of 107.6 billion cubic feet per day (bcfd) in 2025, to 110.0 bcfd by 2026, and 111.2 bcfd by 2027. The agency projected that domestic gas consumption would remain at 91.6 billion cubic feet per day (bcfd) in 2026. This is the same as the record-high 91.6 Bcfd set in 2025. It will then ease to 91.5 Bcfd by?2027. EIA forecasts from January were 108.8 Bcfd in production and 90.3 Bcfd in?demand.
Equinor sold around 30% of its US Gas on the spot market during January's price spike
Equinor, a Norwegian company, sold 30% of its U.S. natural gas assets in January on a'spot basis,' capitalizing on a chilly snap which boosted demand and prices. A January Arctic blast sent U.S. heat demand skyrocketing and frozen oil and gas wells. This cut gas production to a 2-year low, pushing prices at some Northeast gas hubs to record levels. Equinor has stakes in onshore gas production on the U.S. east coast, and the Marcellus position is its largest natural gas asset. Equinor's CFO Torgrim Reitan said that while the?field was operated by the partner, Equinor took delivery of its gas share and marketed and transported it itself.
Baker Hughes reports that US drillers added oil and gas rigs in the US for the second consecutive week.
Baker Hughes, a leading energy services company, said that U.S. firms added oil and natural gas rigs this week for a second consecutive week for the first since December. The number of oil and gas drilling rigs, a good indicator of future production, increased by two in the week ending January 30 to 546, its highest level since December. Baker Hughes reported that despite this week's increase in rigs the total count is still 36 rigs or?6% lower than this time last year. Baker Hughes reported that oil rigs remained at 411 in this week. Oil and gas rig counts declined by 7%…
US natgas prices soar by 140% in the Arctic storm, increasing consumer costs
U.S. Natural Gas?Futures have jumped 140% in the last seven trading days. Cash gas and power prices also hit record highs this week, as an Arctic blast sent heating demands soaring, and frozen?oil?and?gas wells cut gas production to a 2-year low. Power prices are expected to rise sharply, putting pressure on consumers already paying higher bills due to the demand for power, particularly from data centers. Retail electricity prices are on the rise, rising faster than inflation since 2022. The U.S. Energy Information Administration has predicted that retail residential power prices will increase by another 4% this year, to a new record high.
US Northeast spot natgas, power and electricity prices reach record highs due to Arctic blast that boosts heating demand and freezes gaswells
U.S. spot gas and power prices soared in the northeastern region of the country as homes and businesses turned up their heaters. The cold Arctic air had frozen oil and gas wells, and pipes this week. This resulted in gas production dropping to a 2-year low. Pennsylvania's?has jumped by 47%, to a record of $59. In Pennsylvania and Maryland, the price of a megawatt-hour (MWh) soared by 146%. This compares to average cash gas prices in New England of $6.08/mmBtu and $2.79/mmBtu at the Eastern Gas?hub and the average next-day electricity prices at the PJM West?hub of $60.23/MWh by 2025. In recent days, the next-day gas and power prices in the U.S.
German spot prices rise on declining wind production
On Monday, the German baseload contract increased due to a lower supply of wind power and an increase in demand. In contrast, opposite trends are expected for?the nearby regions. LSEG data shows that the German day-ahead power contract was up?25.2% to 135.50 Euros ($160.62 per megawatt hour) at 0911 GMT. LSEG analyst Xiulan he said that a lower wind speed and higher demand in Germany will send a bullish message. Residual load will remain high until?early evening, when it is expected to start to decrease. The picture changes in the rest region where the increasing?winds and the declining residual loads point to a more bearish scenario, they said.
EUROPE GAS Prices Hit Multi-Month Highs Due to US Winter Storm and Storage Concerns
Dutch and British gas contract prices rose Monday morning to their highest level in nearly 10 months as the freezing weather in the U.S. curbed LNG exports. This also raised concerns about?European gas storage levels. LSEG data shows that the benchmark Dutch front-month contract for megawatt hours (MWh) at the 'TTF 'hub had increased by 2.55 euros to 41.95 euros or $14.56/mmBtu at 0825 GMT. According to LSEG, it has reached its highest price since early April 2025 at 42.75 Euros/MWh. The Dutch day-ahead contracts gained 1.85 Euros to 42.45 EUR/MWh. The price of British gas for the day ahead was 7.58 pence higher at 110.33 pence/therm.
As Europe Premium widens, LNG tankers divert their eastbound route
Shiptracking data shows that traders are taking advantage of higher gas prices in Europe compared to Asia by diverting two LNG tankers originally bound for Asia towards Europe and Turkey. The fall in temperatures in northern hemisphere is boosting the heating demand in Asia and Europe, and driving up prices. On Thursday, the price of Asian LNG futures was $11.22 per million British Thermal Units (mmBtu), based on S&P Global Energy Plts Japan-Korea Marker. The benchmark front-month contract for the Dutch Title Transfer Facility hub was closed on Thursday at 38.22?euros per megawatt, or $13.17/mmBtu.
Winter storm increases demand for power in US data centers Alley
The largest U.S. power grid saw its prices rise sharply Sunday, as the demand for energy in a region that has?the largest concentration of data centers in the world? exceeded forecasts in the midst of a deep freeze gripping the majority half the nation. Dominion Energy territory in Virginia saw real-time wholesale prices of $1,800 for a?MWh as early as Sunday morning, up from $200 on Saturday. Virginia is home to the largest cluster of data centres in the world. These centers are used for artificial intelligence, and the rising demand and price of electricity in large swaths across the nation.
Baker Hughes reports that US drillers have added oil and gas rigs to their fleet for the first time in 3 weeks.
Baker Hughes, an energy services company, said in a closely-followed report published on Friday that U.S. firms added oil and gas rigs this week for the first time since three weeks. The number of oil and gas drilling rigs, a good indicator of future production, increased by 1 in the week ending January 23. Baker Hughes reported that despite this week's increase in rigs the total count is still 32 rigs lower than it was at this time last year. Baker Hughes reported that oil rigs rose by one to 411 in the past week. Gas rigs, however, remained unchanged at 122. Oil and gas rig counts declined by about 7% in '2025, 5% a year later in 2024 and 20% a year later in 2023, as lower U.S.