The Northeast Asian assessed spot LNG price JKM (September delivery) for last week (28 July – 1 August) rose to low-USD 12s/MBtu on 1 August from mid-USD 11s/MBtu the previous weekend (25 July). JKM showed an upward trend throughout the week, supported by forecasts of continued extreme heat.
Geopolitical factors such as anticipated tightening of sanctions against Russia by the Trump administration also contributed to the price increase from the previous week. METI announced on 30 July that Japan’s LNG inventories for power generation as of 27 July stood at 1.79 million tonnes, down 0.13 million tonnes from the previous week.
The European gas price TTF for last week (28 July – 1 August) rose to USD 11.4/MBtu on 1 August (September delivery) from USD 11.2/MBtu the previous weekend (25 July, August delivery). The rise was driven by persistently weak wind power generation in the UK and concerns about potential US secondary sanctions against Russia, as well as uncertainty over Trump’s tariff policy.
However, the upward trend paused on 1 August due to forecasts of falling temperatures toward the weekend. According to AGSI+, the EU-wide underground gas storage was 68.8% as of 1 August, up from 66.5% the previous weekend, down approximately 19.4% from the same period last year, and 9.9% below the five-year average.
The U.S. gas price HH for last week (28 July – 1 August) remained almost unchanged at USD 3.1/MBtu on 1 August (September delivery) from USD 3.1/MBtu the previous weekend(25 July, August delivery). Heatwave forecasts have slightly eased, and some regions were expected to see cooler weather, resulting in slightly lower cooling demand and stable price movements.
The EIA Weekly Natural Gas Storage Report released on 31 July showed U.S. natural gas inventories as of 25 July at 3,123 Bcf, up 48 Bcf from the previous week, 3.8% lower than the same period last year, and 6.7% above the five-year average.
Updated: August 4
Source: JOGMEC
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