European natural gas prices slipped below €73/MWh on Friday, giving back part of their recent gains, as softer LNG demand in Asia and increased US supply provided some relief to the European market. US LNG exports reached 10.9 million tonnes in September, with Europe taking in 5.91 million tonnes—about 54% of total shipments—as buyers continued to rebuild inventories ahead of the winter heating season.
At the same time, weaker Chinese LNG demand could release additional cargoes onto the market, potentially redirecting supplies to Europe and reducing competition for spot volumes. Even so, EU gas storage remains relatively low at about 71% of capacity, well below the five-year seasonal average of 87%, while Germany’s storage levels stand just above 57%.
On the supply side, QatarEnergy has extended force majeure on LNG deliveries to Italy’s Edison until December, although several Qatar-linked LNG tankers have resumed transits through the Strait of Hormuz in recent weeks. Persistently low storage levels leave Europe more vulnerable to supply disruptions, particularly as the possibility of renewed US military action against Iran heightens concerns over the security of flows through this critical shipping corridor.
