UK GAS-Prices mixed on oversupply, expected colder weather
British prompt prices were mixed. Within-day prices fell as mild weather on Friday and strong Norwegian flows oversupplied the system, while day-ahead rose on forecasts for colder weather.
* Day-ahead gas was up 0.20 pence at 62.00 pence per therm at 0937 GMT.
* Within-day gas was down 0.40 pence at 61.75 p/therm.
* Within-day prices fell on the system’s supply surplus, while day-ahead gained on expectations for colder weather coming in January, traders said.
* Average daily temperatures in Britain are expected to be 6.7 degrees Celsius on Friday, rising to 7.6 C on Saturday.
* The system was oversupplied. Gas demand in Britain was forecast at 256.3 million cubic metres/day and flows at 263.3 mcm/day, National Grid data showed.
* Norwegian gas flows to Britain were strong, at 122 mcm/day from 116 mcm/day on Thursday.
* Three vessels with liquefied natural gas are expected to arrive in Britain by Sunday..
* Power from renewable sources is expected to be strong during the weekend. Peak wind generation is forecast at 4.0 gigawatts (GW) on Friday, from a total capacity of more than 12 GW, and is expected to rise to 10.6 GW on Saturday.
* High output from wind turbines typically decreases demand for electricity generated in gas-fired power stations.
* Jan contract rose 0.70 pence to 65.50 p/therm.
* Day-ahead Dutch gas at the TTF hub rose by 0.02 euro to 23.35 euros per megawatt hour.
* The benchmark Dec-19 EU carbon contract fell by 0.12 euro to 24.89 euros a tonne.
Source: Reuters (Reporting by Lefteris Karagiannopoulos in Oslo; editing by David Evans)