TTF's Premium Over Asian Spot LNG Price Narrows Sharply - Natural Gas Intelligence
HOUSTON (ICIS) – The TTF front-month contract has fallen by 31% since the start of October.
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HOUSTON (ICIS) – The TTF front-month contract has fallen by 31% since the start of October.
Asian spot LNG prices surpassed the ICIS TTF benchmark this week for the first time since late June on rising demand in Asia and high stock levels in Europe.
For months, officials have warned of an energy crisis this winter as Russia — once the region's biggest supplier of natural gas — slashed supplies in retaliation for sanctions Europe imposed over its invasion of Ukraine. Now, EU gas storage facilities are close to full, tankers carrying liquefied natural gas (LNG) are lining up at ports, unable to unload their cargoes, and prices are tumbling.
Although natural gas and fertilizer prices have eased, high prices and tight supplies will continue to persist in the medium term.
Asia spot prices have fallen this week, with the December ‘22 ICIS East Asia Index (EAX) down more than 20% on 20 October from one week ago.