TTF front-month price inches above €50/MWh
The March TTF gas contract rose slightly on February 22 to €50.6/MWh ($573/'000 m3), after slumping to a new low of €49.3/MWh on the previous day.
Europe has enjoyed unseasonably mild weather since the start of January and ample LNG supply. Its gas storage facilities are also at 63.7% capacity, which is an historic high for the time of year. European gas prices have fallen by as much as 85% since August last year.
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As Bloomberg notes, at its current price of around €50, the TTF front-month price and rising carbon prices could arrest an increased reliance on coal for power generation, but also prevent gas prices from dropping even further.
Europe's supply prospects have brightened with the imminent restart of the Freeport LNG terminal in Texas, which was closed down last year after an explosion. The terminal operator secured regulatory approval this week to start commercial operations at one of the trains. But Freeport LNGT has cautioned that it will still take "several weeks" to ramp up output.