Goldman Says Europe Needs €100 Gas for Winter Stocks as Middle East Risks Threaten LNG
Updated
Updated · Bloomberg · Aug 25
Goldman Says Europe Needs €100 Gas for Winter Stocks as Middle East Risks Threaten LNG
3 articles · Updated · Bloomberg · Aug 25
Summary
€100 per megawatt-hour in December may be needed for Europe to rebuild enough gas inventory to get through winter, Goldman Sachs said.
Goldman argued the recent rally in Dutch front-month futures still would not divert enough liquefied natural gas away from Asia if Middle East supply disruptions last into next year.
Dutch benchmark gas futures climbed above €65/MWh last week, a five-month high that the bank said remains well below the level needed to secure additional cargoes.
The call underscores Europe’s vulnerability to prolonged supply shocks and its dependence on higher prices to attract LNG in a tighter global market.