Industry

S&P has sharply raised the forecast for gas prices in Europe

The international rating agency Standard & Poor`s Global Ratings has significantly increased the forecast for natural gas prices in the European market in the coming years due to a reduction in gas supplies from Russia via the Nord Stream 1 pipeline, the agency said.

Analysts now expect TTF gas to average $50 per 1 million British thermal units (BTU) by the end of this year, $40 next year and $25 in 2024.

“This substantial increase reflects the likelihood that Russian pipeline gas deliveries will remain at historic lows, making it harder for Europe to secure sufficient stocks and supplies during the winter,” the statement of the S&P GR. In addition, the revision of the forecast was caused by a jump in quotations on the spot and futures markets.

Source: Turan News Agency