Group 1 - The International Energy Agency (IEA) reports that global natural gas demand is expected to slow down in 2025, with growth projected to decrease from 2.8% in 2024 to 1.3% [1] - In the first half of this year, global natural gas consumption grew by only 1% year-on-year, with significant growth concentrated in Europe and North America [1] - European natural gas consumption increased by 6.5% in the first half of the year, supported by the power sector, while North America saw a 2.5% increase due to cold weather in Q1 [1] Group 2 - The report indicates a decline in natural gas demand in Asia, with India's consumption dropping by 7% in the first five months of the year due to reduced industrial usage [1] - The report highlights a 45% year-on-year decrease in Russian pipeline gas supplies to the EU, amounting to a reduction of approximately 6.5 billion cubic meters [2] - European LNG imports surged by 25% year-on-year, reaching a historical peak of 920 billion cubic meters in the first half of the year [2] Group 3 - The report forecasts a 7% growth in global LNG supply in 2026, amounting to an increase of about 40 billion cubic meters, potentially easing market tightness [3] - Industrial and energy sectors are expected to contribute nearly 50% of the global demand increase, with gas-fired power generation accounting for 30% of the demand growth in 2026 [3] - The Asia-Pacific region is projected to see a natural gas demand growth exceeding 4% in 2026, while European demand is expected to decline by 2% due to the rise of renewable energy [3]

Investment Rating - The report maintains an "Accumulate" rating for the gas industry, specifically recommending New World Energy for its stable profits and high dividend yield [1]. Core Insights - The report highlights the upward trend in European gas prices due to ongoing storage developments, while high temperatures have led to a decline in U.S. gas prices. Domestic gas prices are showing weak performance [5][10]. - The supply-demand analysis indicates that U.S. natural gas prices decreased by 3.5% week-on-week, with total supply down by 0.7% and total demand up by 0.8% as of July 9, 2025. In Europe, gas prices increased by 4.6% week-on-week, with a total consumption of 192 billion cubic meters in the first four months of 2025, up 7.4% year-on-year [5][17][19]. - The report emphasizes the importance of the recent reduction in U.S. LNG import tariffs from 140% to 25%, which enhances the economic viability of U.S. gas imports [45][51]. Price Tracking - As of July 11, 2025, the week-on-week price changes for various gas prices are as follows: U.S. HH gas price decreased by 3.5%, European TTF increased by 4.6%, and domestic LNG prices increased by 1.1% [10][15]. - The average total supply of natural gas in the U.S. was 1,125 billion cubic feet per day, with a year-on-year increase of 3.4% [17]. Supply and Demand Analysis - The report notes that the average total demand for natural gas in the U.S. increased by 2% year-on-year, with residential and commercial consumption rising by 2.3% week-on-week [17]. - In Europe, the gas supply decreased by 6% week-on-week, with significant contributions from inventory consumption and LNG receiving stations [19]. Investment Recommendations - The report recommends focusing on companies with stable profit structures and high dividend yields, such as New World Energy (2025 dividend yield of 5.3%), China Gas (2025 dividend yield of 6.4%), and Blue Sky Gas (TTM dividend yield of 8.9%) [51][52]. - It suggests monitoring companies with quality long-term contracts and cost advantages, such as New World Holdings and Jiufeng Energy [52]. Important Events - The report mentions that the European Parliament and EU member states have agreed to provide greater flexibility regarding gas storage targets, allowing for a deviation of 10 percentage points from the 90% storage target [50].

Investment Rating - The report maintains an "Accumulate" rating for the gas industry [1] Core Viewpoints - The report highlights that facility maintenance and high temperatures have driven up gas prices in Europe and the US, while domestic gas prices remain stable [6][11] - It anticipates a gradual recovery in demand, with a focus on cost optimization for gas companies and the continued adjustment of pricing mechanisms [50] Price Tracking - As of June 6, 2025, gas prices have changed week-on-week as follows: US HH +1.8%, European TTF +8.5%, East Asia JKM +2.4%, China LNG ex-factory +0.1%, and China LNG CIF +4% [11][13] - The average total supply of natural gas in the US decreased by 0.5% week-on-week to 1,124 billion cubic feet per day, while total demand fell by 1.5% to 962 billion cubic feet per day [16] Supply and Demand Analysis - The report notes that the average natural gas consumption in China decreased by 1.3% year-on-year to 1,393 billion cubic feet in the first four months of 2025, attributed to a warmer winter in 2024 [24][30] - In Europe, natural gas consumption for January-February 2025 was 115.5 billion cubic meters, up 11% year-on-year [17] Pricing Progress - Nationwide, 63% of cities have implemented residential pricing adjustments, with an average increase of 0.21 yuan per cubic meter [37] - The report indicates that there is still a 10% room for price adjustment in city gas companies [37] Important Events - The US gas import tariff has been reduced from 140% to 25%, enhancing the economic viability of US gas imports [44][46] - The European Commission has voted to introduce more flexible natural gas storage filling targets to avoid supply shortages and price spikes [49] Investment Recommendations - The report recommends focusing on companies that can optimize costs and benefit from the ongoing pricing adjustments, such as New Energy, China Gas, and Kunlun Energy [50][51] - It also suggests monitoring companies with quality long-term contracts and flexible scheduling capabilities, like Jiufeng Energy and New Energy [51]