Category

Countries

Global Natural Gas price surges amidst growing Russia-Ukraine tension

Global Natural Gas price surges amidst growing Russia-Ukraine tension

Global Natural Gas price surges amidst growing Russia-Ukraine tension

  • 22-Mar-2022 12:50 PM
  • Journalist: Patrick Knight

Global Natural prices continue to surge this week with the ongoing tension between Russia and Ukraine while severely impacting the Petrochemical market. The accelerating recovery in the energy demand coupled with inadequate supply surged the prices. In China, the LNG prices accelerated to record height with robust demand from its derivative market. LNG export prices for both inland and coastal terminal averaged to $1266/ton when observed on 9th March. Surging Natural Gas prices have impacted China’s LNG imports forcing the country to depend upon pipeline gas imports and domestic gas production.  PipeChina, China’s state-owned oil and gas infrastructure company allowed the major Gas Companies to apply for unused Natural Gas at their LNG terminals due to destructed demand.

In the USA, the Natural Gas spot prices fell in certain locations. However, the Henry Hub spot prices rose to $4.67/MMBtu as of 15th March. International spot prices of Natural Gas slipped in the previous week but overall remained on the higher end. Prices on the Gulf coast rises slightly due to the freezing temperature in the region. The utilization of Natural Gas in the downstream market increases where its consumption in power generation climbed by 1.1% to (0.3 Bcf/day) and in the industrial sector it is surged by 1.5% to (0.3 Bcf/day). Natural Gas exports to Mexico was also increased by 0.2%.

In the European market, the energy and Natural Gas prices remained on the higher end with wild price swings and escalating fear about potential disruption in Russian supplies. The US LNG exports to the European region increased due to low inventories and strong market sentiments. Not to mention, the spot prices of Natural Gas in Europe also exceed the Asian spot prices. Crunched Natural Gas supply can lead to higher Natural Gas future markets with higher imports from the US in the European region.

24X7

Track Real Time Prices

Related News

The Rising Production Rate Among the Enterprises Cooled the Global Natural Gas Prices
  • 26-Sep-2022 3:52 PM
  • Journalist: Nicholas Seifield
A Gradual Surge in Domestic Supply Reduces Natural Gas Prices in the USA
  • 09-Sep-2022 5:28 PM
  • Journalist: Jacob Kutchner
Russian Pipeline Maintenance Fuels the Prices of Global Natural Gas
  • 24-Aug-2022 6:00 PM
  • Journalist: Gabreilla Figueroa
Inconsistency in the Supply-Demand Dynamics Inflates the Global Natural Gas Price
  • 16-Aug-2022 3:56 PM
  • Journalist: Yage Kwon