A roundup of news and commentary from NGI’s LNG Insight

  • Henry Hub settled at a 25-year low on Thursday at $1.482, down 7.2% day/day, while the front-end of the Nymex forward curve collapsed after a 120 Bcf injection into storage. U.S. futures extended their losses in early trading Friday, but the July contract rolled off the board 1.3 cents higher ahead of expiration. 
  • “With the July 4th holiday nearing and the potential for LNG feed gas flows to drop significantly in early July, the front-end of the curve is unlikely to snap back quickly,” said EBW Analytics Group. 
  • Belgium-based Exmar has received a force majeure notice from YPF SA of Argentina that claims YPF can’t meet the terms of its charter agreement for the Tango floating liquefied natural gas vessel. YPF said it is unable to meet its obligations or pay for services under the agreement due to Covid-19. Exmar rejected the notice as unlawful.
  • Germany is reportedly planning to take action against the United States if it moves ahead with additional sanctions on the Nord Stream 2 Pipeline, which would move gas from Russia to Europe. Germany is considering coordinated action with the European Union, according to news media reports.