The Northeast Asian assessed spot LNG price JKM for last week (12 – 16 August) rose to mid-USD 14s on 16 August from mid-USD 13s the previous weekend (From 16 August, JKM delivery month has changed to October).
The price rose due to geopolitical uncertainty, and as a result, high price led to lowering in buying interest. Since then, consciousness of geopolitical risks has continued.
Since 8 August, JKM has updated the highest level in 2024 which was recorded in June. METI announced on 14 August that Japan’s LNG inventories for power generation as of 11 August stood at 1.98 million tonnes, up 0.07 million tonnes from the previous week.
The European gas price TTF for last week (12 – 16 August) fell to USD 12.8/MBtu on 16 August from USD 12.9/MBtu the previous weekend (9 August). Despite geopolitical tensions, gas supplies from Norway remained stable, and gas supplies from Sudzha in Russia to Ukraine remained stable.
TTF fluctuated slightly throughout the week. According to AGSI+, the EU-wide underground gas storage increased to 89.1% as of 16 August from 87.2% the previous weekend.
The U.S. gas price HH for last week (12 – 16 August) remained unchanged in USD 2.1/MBtu on 16 August from USD 2.1/MBtu the previous weekend (9 August). While U.S. gas demand declined due to a drop in temperatures, supply also declined.
The EIA Weekly Natural Gas Storage Report released on 15 August showed U.S. natural gas inventories as of 9 August at 3,264 Bcf, down 21 Bcf from the previous week, up 6.8% from the same period last year, and 13.0% increase over the five-year average.
Updated: August 19
Source: JOGMEC
