LNG

European gas prices at the Dutch TTF may need to top €100/MWh to attract enough flexible US LNG cargoes to refill storages ahead of the winter, Goldman Sachs analysts said.

Gasunie has warned the Netherlands will not meet its 115 TWh gas storage target for this winter. Storage is currently just 44-45% full, the lowest since 2009, as utilities shy away from buying LNG at current high prices.

The US Court of Appeals has removed a major legal obstacle to Venture Global’s CP2 LNG export terminal in Louisiana, upholding the Federal Energy Regulatory Commission’s (FERC) approval of the $28 billion project and its associated CP Express pipeline.

Stalled US-Iran negotiations are manifesting LNG price premiums this autumn, with the average price for an October cargo delivered to Northeast Asia forecast at $22.50 per MMBtu. The geopolitical premium is firmly engrained in global LNG markets, fuelling a bullish sentiment in Asia where the price of delivered LNG increased by$0.85/MMBtu week-on-week to nearly$22.10/MMBtu.

ADNOC Logistics and Services has exercised options to get two additional next-generation LNG carriers built at China’s Jiangnan shipyard, further expanding its fleet renewal programme. The two vessels, worth $444 million combined, are due for delivery in 2029.

Aug 27 – Norwegian shipping firm Hoegh has ordered six additional dual-fuel vessels and car carriers, adding to Hoegh’s Aurora class. The ships will be built by China Merchants Heavy Industry in Jiangsu and are scheduled for delivery between 2029 and 2031.

The UK government is actively considering chartering or funding a floating storage and regasification unit (FSRU) to shore up gas storage and import capacity amid warnings the country could face supply shortfalls by the 2030s. The option emerged in the government’s response to a consultation by the Department for Energy Security and Net Zero (DESNZ) on gas supply security, which found the market alone is unlikely to deliver sufficient resilience against high-impact stress scenarios.

JPMorgan and Santander are among banks arranging a $14-15 billion debt financing facility of for the Argentina LNG venture, as project partners YPF, Eni and ADNOC’s XRG target a final investment decision (FID) in November.

Australian energy major Woodside and its contractor Bechtel are accelerating construction at the 27.6 mtpa Louisiana LNG project with the aim of shipping a first cargo in 2029.

Norway’s state energy company Equinor is considering reviving the long-stalled Tanzania LNG project with Shell, as disruption to shipments through the Strait of Hormuz could continue into the fourth quarter of this year, or possibly extend to 2027.