Gas price in Europe falls below $900 per 1,000 cubic meters again

TASS Russian News Agency | Jan 12, 2022 at 3:56 PM

MOSCOW, January 12. /TASS/. The gas price in Europe dropped below $900 per 1,000 cubic meters in the course of Wednesday trading after exceeding $1,000 during the morning session, according to ICE trading data.

The price of gas futures for February delivery at the TTF hub in the Netherlands was down at $876 per 1,000 cubic meters, or 84.3 euro per MWh (on the basis of the current euro exchange rate against the dollar, prices at ICE are in euro per MWh).

The overall decline in gas prices since the beginning of the day was over 5.5%.

The exchange price of gas in Europe on December 21 exceeded $2,000 per 1,000 cubic meters for the first time in history against the backdrop of the cold weather and with abnormally low gas reserves in European underground storage facilities. However, in the following days, the price was adjusted amid the warner weather and the resumption of wind power generation in Europe and the news that the number of tankers carrying LNG from the US to Europe increased by a third.

However, the price of futures on the TTF hub is volatile due to speculative factors and does not reflect the real price of physical supplies to Europe.