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.

Related News

US LNG Producers Express Confidence in Expansion Despite Regulatory Challenges
  • 23-Feb-2024 3:49 PM
  • Journalist: Robert Hume
Chevron to Equip LNG Carriers with Reliquefaction Technology
  • 23-Feb-2024 11:18 AM
  • Journalist: Kim Chul Son
Chevron Explores Natural Gas Production Blueprints in Egypt
  • 22-Feb-2024 2:17 PM
  • Journalist: Bob Duffler
Chevron Announces Maintenance Schedule for Offshore Gas Platform in Israel Region
  • 22-Feb-2024 11:04 AM
  • Journalist: Robert Hume