Natural gas
Overview
Natural gas has been fuelling industrial and economic growth across developed and developing countries. Its usage is set to increase as it is also being considered as a low-carbon fuel that can help make the transition to a no-to-low-carbon economy. Argus is your irreplaceable source of price information, news, expert analysis and fundamentals data for international natural gas markets.
Whether you need access to key gas prices and indexes, expert commentary on all the latest industry developments, or market data to aid your business planning, we give you the information you need and the expert view to understand it.
Latest natural gas news
Browse the latest market moving news on the global natural gas industry.
Austrian regulator consults on gas tariff changes
Austrian regulator consults on gas tariff changes
London, 3 May (Argus) — Austrian energy regulator E-Control has revised up its planned increase in gas tariffs from the start of 2025 but adjusted its commodity charge lower. E-Control on Friday published draft amendments to its gas system charges ordinance that would codify planned changes to how it calculates tariffs. It largely retains its revised methodology from April, but has modified its planned outright tariffs and commodity charge. The regulator had in February proposed a shift to a capacity-weighted distance (CWD) model for its reference price methodology, along with a change to a 50:50 entry-exit revenue split from roughly 20:80 at present. The proposed changes would have tripled entry costs from Germany and quadrupled them from Italy from 2025, as well as other significant changes for the distribution system and storages. Austria's system operators supported the changes , but almost all other respondents to the consultation were highly critical , warning that the changes could threaten diversification, lower utilisation and increase tariffs further and harm liquidity. E-Control last month walked back on several of the proposed changes . Most significantly, it revised the entry-exit split to 25:75, limited the increase in exit tariffs to the distribution zone, introduced a 50pc discount on exit fees to storage facilities, and equalised entry tariffs at all points. The switch to a CWD model was retained, however. The most notable modification from the changes proposed in April is a roughly 7pc increase in capacity-based tariffs, as the new amendments use final prices as opposed to indicative prices previously (see table) . The difference "results from the findings over the course of the cost approval procedure during the past few months", E-Control told Argus . In contrast, the commodity charge on gas entering and exiting the Austrian grid has decreased as a result of "lower expected fuel energy costs", E-Control told Argus . It now plans to charge around €0.04/MWh on entry flows and €0.13/MWh on exit flows, compared with €0.12/MWh and €0.13/MWh, respectively, in the original proposal. There is no commodity charge in place for this year. The final change is an update of the multipliers for capacity bookings depending on their duration. The regulator now proposes multipliers of 1.25 for quarterly products, 1.5 for monthly, two for daily, and three for within-day. Interested parties may submit comments to the regulator by 16 May. Final tariffs will then be published in June, and will be applicable from 1 January 2025. By Brendan A'Hearn Austria 2025-28 estimated tariffs €/kWh/h/a Entry/Exit Capacity type* 2025 (final) 2026 (preliminary) 2027 (preliminary) Baumgarten Entry FZK 1.30 1.37 1.48 Oberkappel Entry FZK 1.30 1.37 1.48 Uberackern Entry FZK 1.30 1.37 1.48 Uberackern Entry DZK 1.17 1.23 1.33 Uberackern Exit FZK 4.25 4.59 4.98 Uberackern Exit DZK 3.82 4.13 4.48 Arnoldstein Entry FZK 1.30 1.37 1.48 Arnoldstein Entry DZK 1.17 1.23 1.33 Arnoldstein Exit FZK 5.96 6.62 7.39 Murfeld Exit FZK 3.73 4.19 4.71 Mosonmagyarovar Exit FZK 2.15 2.49 2.80 Distribution area Exit FZK 1.26 1.45 1.67 Storage Penta West Exit FZK 2.12 2.29 2.49 Storage MAB Exit FZK 1.07 1.19 1.34 *FZK = Firm, freely allocable capacity; DZK = dynamically allocable capacity — E-Control Austria 2025 final tariff vs current €/kWh/h/a Entry/Exit Capacity type* 2025 Current ±% Baumgarten Entry FZK 1.30 0.85 53 Oberkappel Entry FZK 1.30 0.97 34 Uberackern Entry FZK 1.30 0.97 34 Uberackern Entry DZK 1.17 0.88 33 Uberackern Exit FZK 4.25 3.26 30 Uberackern Exit DZK 3.82 2.93 31 Arnoldstein Entry FZK 1.30 0.97 33 Arnoldstein Entry DZK 1.17 0.68 72 Arnoldstein Exit FZK 5.96 4.35 37 Murfeld Exit FZK 3.73 1.90 97 Mosonmagyarovar Exit FZK 2.15 1.23 75 Distribution area Exit FZK 1.26 0.42 200 Storage Penta West Exit FZK 2.12 0.44 383 Storage MAB Exit FZK 1.07 0.44 144 *FZK = firm, freely allocable capacity; DZK = dynamically allocable capacity — E-Control Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
CEE gas operators begin binding capacity offer process
CEE gas operators begin binding capacity offer process
London, 2 May (Argus) — Gas transmission system operators (TSOs) across central and eastern Europe have launched the start of binding incremental capacity processes aimed at facilitating larger gas flows from south to north. Romanian, Bulgarian, Hungarian, Moldovan and Ukrainian operators have published joint documents outlining the necessary conditions for participating in the upcoming annual auctions on 1 July. Bulgarian and Romanian TSOs Bulgartransgaz and Transgaz will offer an additional roughly 123 GWh/d of capacity from Bulgaria to Romania at Negru Voda 1-Kardam on top of existing available capacity of 126-142 GWh/d depending on the year ( see BG-RO table ). In the event of a successful auction and subsequent economic test, the TSOs hope to reach a final investment decision (FID) in the third quarter of this year and commission the upgrades in the third quarter of 2026. Commercial operations could begin in the fourth quarter, aligning with the start of the 2026-27 gas year. This timeline has been moved forward by one year from the original proposals earlier this year . Transgaz, along with Hungary's FGSZ, will offer up to 73 GWh/d of additional capacity from Romania to Hungary at Csanadpalota on top of existing available capacity of 5-71 GWh/d depending on the year ( see RO-HU table ), but maintained its three-tiered approach elaborated in an earlier market consultation . Depending on the level of capacity to which firms commit at the auction, capacity could increase by 9.5 GWh/d, 47.3 GWh/d or 72.5 GWh/d. The smallest project could start commercial operations in the first quarter of 2028, the middle level in the third quarter of 2028, and the highest level in the third quarter of 2029. These timelines are pushed back by roughly one year from the originally-proposed dates in the February consultation. And Transgaz, along with Ukraine's GTSOU, will offer an additional 77 GWh/d of capacity from Romania to Ukraine at Isaccea 1-Orlovka 1 on top of existing available capacity of 97-109 GWh/d depending on the year ( see RO-UA table ). The TSOs aim to reach FID in the third quarter of this year and commission the project in the fourth quarter of 2028. Commercial operations could begin in October 2028. GTSOU and its Moldovan counterpart Vestmoldtransgaz will offer 173 GWh/d towards Moldova from Ukraine at Kaushany starting from the 2027-28 gas year, while simultaneously offering 159 GWh/d of capacity from Moldova towards Ukraine at Grebenyky. By Brendan A'Hearn Available and incremental capacity at Negru Voda/Kardam GWh/d/yr Gas year Available existing cap Incremental cap Total 2024-25 141 - 141 2025-26 141 - 141 2026-27 142 123 265 2027-28 142 123 265 2028-29 142 123 265 2029-30-2042 126 123 249 — Bulgartransgaz, Transgaz; numbers rounded Available and incremental capacity at Csanadpalota GWh/d/yr Gas year Available existing cap Incremental cap Total 2024-25 43 - 43 2025-26 46 - 46 2026-27 71 - 71 2027-28 13 - 142 2028-29 13 - 13 2029-30 5 73 78 2030-31 34 73 107 2031-32 34 73 107 2032-33-2039 63 73 136 — FGSZ, Transgaz; numbers rounded Available and incremental capacity at Isaccea/Orlovka GWh/d/yr Gas year Available existing cap Incremental cap Total 2024-25 109 - 109 2025-26 109 - 109 2026-27 109 - 109 2027-28 109 - 186 2028-29 109 77 186 2029-30-2039 97 77 174 — GTSOU, Transgaz; numbers rounded Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
California LCFS adds to record credit pile
California LCFS adds to record credit pile
Houston, 30 April (Argus) — Continued growth in renewable diesel and biogas supplied to California in the fourth quarter of 2023 lifted Low Carbon Fuel Standard (LCFS) credits available for future compliance by a record 2.9mn metric tonnes (t), according to state data published today. A widening gap between newly generated credits and deficits has helped to drag credit prices down to roughly six-year lows. Credits available for future LCFS compliance, which do not expire, increased by more than half in 2023 to a volume able to satisfy an additional year of new deficits without any new lower-carbon fuel use. Rising renewable diesel and biogas for transportation continued to drive the build in credits in excess of current compliance needs, which increased by 14pc in the fourth quarter. New renewable diesel credits rose by 6.7pc from the previous quarter to make up 40pc of all new credits for the final period of 2023. The fuel made up 58pc of the liquid diesel pool and petroleum diesel shrank to less than a third. Biogas, the second largest source of LCFS credits, grew by 6pc to hold about 17pc of all new credits in the quarter. CARBOB consumption meanwhile fell by 3.3pc from the previous quarter. The fuel still makes up 89pc of all new program deficits. LCFS programs require yearly reductions in transportation fuel carbon intensity. Higher-carbon fuels that exceed the annual limits incur deficits that suppliers must offset with credits generated from the distribution of approved, lower-carbon alternatives. The previous quarter recorded a 2.2mn t build in credits available for future compliance, helping to drop confirmed trade to $56.60/t in February. An ongoing California Air Resources Board (CARB) rulemaking could rebalance the widening gap between new credits and new deficits. Staff continue to seek comment on the approach participants would prefer. Scenarios offered at a mid-month workshop considered different paths through a 30pc reduction target, compared to the current 20pc target, by the end of the decade. A 9pc reduction in 2025 targets — a drop more than seven times steeper than recent 1.25pc annual target adjustments — would trim available credits for future compliance by more than 8mn t before continuing to work toward a 30pc target in 2030, according to CARB. A 5pc reduction in 2025 would have limited immediate effect on banked credits, based on staff simulations. Conditions would instead trigger a proposed mechanism that automatically accelerates to tougher targets at least once before 2030, and potentially twice — toughening the reduction target to 39pc. Public comment on this balancing of program pace continues to 10 May. By Elliott Blackburn Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
Australia’s Tamboran agrees NT gas sales deal
Australia’s Tamboran agrees NT gas sales deal
Sydney, 23 April (Argus) — Australian independent Tamboran Resources has signed a long-term gas sales agreement with the Northern Territory (NT) government for supplies from the Beetaloo joint venture's (BJV) proposed Shenandoah South pilot project. The binding deal for 40 TJ/d (1.07mn m³/d) on a take-or-pay basis from Shenandoah South in the onshore Beetaloo sub-basin of the NT equates to a total 131.4PJ (3.5bn m³) and begins in January-June 2026, running for nine years with an option to extend 6½ further years to 2042, Tamboran said on 23 April. This represent about two-thirds of the NT's present gas requirements and is conditional on the BJV entering a binding transportation agreement with pipeline operator APA for the planned 35km Sturt Plateau Pipeline , as well as reaching a final investment decision (FID) for Shenandoah South. Tamboran has a working interest of 47.5pc in Shenandoah South, which is aiming for a FID mid-year, following Canadian independent Falcon Oil and Gas' decision to reduce its participation from 22.5pc to 5pc in March to reduce its cost exposure to the project. BJV is operated by Tamboran, which holds a 50:50 interest in the Tamboran B2 joint venture with privately-held Daly Waters Energy controlled by US billionaire Bryan Sheffield. The BJV also holds a 10-year, 36.5 PJ offtake deal with Australian utility Origin Energy signed in 2022. The NT is dependent on gas-fired power generation. Continuing supply problems at Italian oil firm Eni's offshore Blacktip field has it currently sourcing gas from Australian independent Santos' depleting Bayu-Undan field in the Timor Sea and the onshore Mereenie joint venture . Tamboran is aiming in the long term to develop its proposed 6.6mn t/yr Northern Territory LNG project , for which it is aiming to complete initial engineering this year. By Tom Major Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
Spotlight content
Browse the latest thought leadership produced by our global team of experts.
Explore our natural gas products
Key price assessments
Argus prices are recognised by the market as trusted and reliable indicators of the real market value. Explore some of our most widely used and relevant price assessments.
Related events
No Results Found