RE: This weeks flow rates should be GREAT ( Circa 8 - 10 mmscfd )9 May 2023 09:55
From the Telegraph.
European gas prices could nearly treble this winter and remain higher into summer next year, according to Goldman Sachs, delivering a shock to households and a boost to Vladimir Putin's efforts to fund his war in Ukraine.
Wholesale gas prices could rise above €100 per megawatt hour in the second half of the year, nearly three times higher than present levels of around €36.
European gas prices have fallen after the continent emerged from winter with gas stocks more than half full and close to record highs for the time of year.
However, Goldman Sachs expects European consumption and liquified natural gas (LNG) demand elsewhere in the world to rebound in the second half of 2023 raising prices on average above €90 per megawatt hour.
In a note to investors, analysts warned that "even if industrial demand remains sluggish this summer, this is not a guarantee that storage will be comfortable throughout winter".
It said there is "only so much capacity to store gas ahead of heating season".
Analysts argue that the low prices in the continent at the moment have reduced motivation among households to cut their gas usage, which could fuel the rebound in demand.
Higher gas prices would deliver a boost to Russia, which still supplied nearly a quarter of EU gas imports from January 2022 to November 2022, according to EU data.