The Northeast Asian assessed spot LNG price JKM for the previous week (19 February – 23 February) decreased from the high USD 8s of the previous week to below USD 8 on 16 February. JKM fell due to sufficient supply and high inventory, reaching its lowest level since April 2021. METI announced on 21 February that Japan’s LNG inventories for power generation as of 18 February stood at 2.13 million tonnes, up 0.08 million tonnes from the previous week.
The European gas price TTF decreased to USD 7.3/MBtu on 23 February from USD 7.8/MBtu the previous week. TTF fell due to weak demand and high inventories. According to AGSI+, the EU-wide underground gas storage declined to 64.2% as of 23 February from 65.5% the previous week.
The U.S. gas price HH rose to USD 1.8/MBtu on 21 February from USD 1.6/MBtu the previous week, but fell to USD 1.6/MBtu on 23 February. HH temporarily rose following Chesapeake Energy’s announcement of curtailment of the production, but weak demand and strong production offset the gains. The EIA Weekly Natural Gas Storage Report released on 22 February showed U.S. natural gas inventories as of 16 February at 2,470 Bcf, down 60 Bcf from the previous week, up 12.0% from the same period last year, and 22.3% increase over the five-year average.
Updated: 26 February 2024
Source: JOGMEC
