Gas price in Europe exceeds $900 per 1,000 cubic meters

The price of gas in Europe during trading on September 20 on the ICE exchange began to grow amid news that Russia’s Gazprom didn’t book additional capacities for gas transit through Ukraine. Thus, the price of October futures soared to $908 per 1,000 cubic meters after falling below $800 per 1,000 cubic meters on September 17, Report informs referring to TASS.

However, as of 14:50 (GMT+4), the cost of October futures on the TTF hub in the Netherlands dropped to $881 per 1,000 cubic meters.

The price adjustment could have been facilitated by the news that the Norwegian Equinor received permission to increase gas exports from its offshore Oseberg and Troll fields in the context of the ‘narrowed gas market.’ So, production at the Oseberg field will increase in 2021 gas year (starting on October 1) by 1 billion cubic meters, to 6 billion cubic meters of gas, at Troll - also by 1 billion cubic meters, to 37 billion cubic meters of gas.

The Gas Transmission System Operator of Ukraine (GTS Operator of Ukraine) on September 20 offered at an auction transit capacity for October in the amount of up to 9.8 million cubic meters per day through the Sudzha gas metering station and up to 5.2 million cubic meters per day through the Sokhranovka station. But according to the results of the auction, which ended at 14:00 (GMT+4), they remained unclaimed by Gazprom.