LNG prices may spike in winter as risks remain, Tokyo Gas exec says

TOKYO/SINGAPORE, Aug 31 (Reuters) — Prices of liquefied natural gas (LNG) could spike this winter even with high storage levels in Europe, a Tokyo Gas executive said, as many political and market uncertainties remain.

“There are still many uncertainties, including the situation in Russia and Ukraine, sanctions against Russia by the G7, the status of pipeline and LNG exports from Russia to Europe, the recovery trend in China’s LNG demand and supply concerns,” said Atsunori Takeuchi, senior general manager of the LNG Business Department.

“So the possibility of LNG price hikes still remains.”

Global gas prices leapt to all-time highs last year after Russia cut its gas supply to Europe, leading the bloc to import record amounts of LNG and causing Asian spot prices