Unplanned pipeline maintenance drives prices up
It was a day of two halves at the NBP on Monday as unplanned maintenance in Norway drove near curve gas prices gas prices up by approximately 2.5p/therm (0.085p/kWh) when compared to the previous close, while the far curve saw modest declines of 0.5p/therm (0.017p/kWh).
Disruptions to Norwegian supply, occurring shortly after the conclusion of significant planned maintenance, likely provided substantial support to the front-end.
Data from operator Gassco indicated that a combined 29.4mcm of gas production was halted at the Aasta Hansteen and Dvalin fields over the course of the gas day. These events contributed to a 13.1% drop in UK gas imports day-on-day, with National Gas projecting 1.5mcm of undersupply as of 3:00 pm (BST), a stark contrast to the 13.2mcm oversupply predicted at 8:00 am.
In other news, discussions regarding a potential UK-US trade deal have reportedly been progressing well.
In other news, talks surrounding a potential UK-US trade deal have reportedly been advancing well.
In an interview on Monday, Vice President JD Vance stated that he felt there was a ‘good chance’ of a trade deal between the two countries, just weeks after the US applied a tariff of 10% to most UK imports.
This morning, NBP gas contracts are being offered largely in line with their previous settlements, although many have yet to trade at the time of writing.
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Price commentary courtesy of Crown Gas and Power 