London — British wholesale gas prices fell on Monday morning due to an oversupplied market as flows from Norway jumped.
* Within-day gas price down 0.95 pence at 35.90 pence per therm at 0827 GMT.
* Day-ahead contract down 0.30 pence at 36.25 p/therm.
* Demand is forecast at 243 million cubic metres (mcm) and flows at nearly 259 mcm/day, leaving the system oversupplied by around 16 mcm, National Grid data shows.
* Although demand for heating and from gas-to-power plants is higher than on Friday due to colder temperatures than expected previously, flows from Norway through the Langeled pipleline have jumped as gas has been re-routed from continental Europe.
* Peak wind generation is forecast to fall to 5.1 gigawatts (GW) on Tuesday from over 10 GW today, Elexon data shows.
* Temperatures next week are expected to be slightly below the seasonal norm, which could raise consumption.
* Europe’s gas storage levels are around 41 percent full, Gas Infrastructure Europe’s website shows.
* “With possibly two more weeks of small withdrawals followed by an early start to the injection season, the gas market is still on track for an end-March carryout of around 41 billion cubic metres (bcm), some 24 bcm higher year-on-year,” analysts at consultancy Energy Aspects said.
* The April contract at the Dutch TTF hub inched down by 0.10 euro to 14.35 euros per megawatt hour.
* Benchmark Dec-19 EU carbon contract was 0.06 euro higher at 20.73 euros a tonne.