FX.co ★ TTF Prices Fall by Over 3%

European natural gas prices have decreased by over 3%, now falling below €28 per megawatt-hour. This drop extends a nearly 45% decline anticipated for 2025, driven by an abundant global supply that continues to influence the market. According to the International Energy Agency, Europe is on track to import a record amount of liquefied natural gas (LNG) this year. This influx has alleviated concerns over storage levels, which are currently around 60%, compared to a five-year seasonal average of approximately 72%. Consistent LNG deliveries from the United States, alongside other suppliers, have provided European buyers with significantly more flexibility than in previous years. Furthermore, a mild start to the heating season and reliable pipeline deliveries from Norway have eased market pressures. Since the energy crisis triggered by Russia's invasion of Ukraine, the market dynamics have shifted considerably, with LNG now making up around 45% of EU gas imports, in contrast to about 20% before the conflict. Looking forward, new LNG export projects worldwide suggest even more relaxed supply conditions, indicating a potential prolonged surplus.