Global Gas Market Prices in Tight Supplies Amid Disruptions
The global gas market is pricing in tight supplies well beyond winter due to disruptions in Gulf liquefied natural gas exports, particularly from Qatar, one of the world's largest LNG suppliers.
Menelaos Ydreos, secretary general of the International Gas Union (IGU), whose members represent more than 90 percent of the global gas market, noted that forward gas prices suggest traders expect elevated prices and supply risks to persist through next summer before easing.
The current crisis differs from the energy shock that followed Russia's invasion of Ukraine in 2022 because it is affecting multiple regions at the same time.
Europe is competing with Asia for LNG cargoes while attempting to refill storage sites ahead of winter, and Ydreos stated that European policymakers are wrestling with how to balance climate goals with energy security and affordability.