As Norwegian maintenance curtails supply, the price of EUROPE GAS is on the rise
The wholesale gas price in the Netherlands and Britain increased slightly on Thursday as Norwegian maintenance ramped up.
The benchmark front-month contract for the Dutch TTF Hub was 1.26 euros higher at 36.35 Euros per Megawatt Hour (MWH), which is $11.88 mmBtu by 0810 GMT. Meanwhile, the November contract was 0.62 euros higher at 38.05 Euros/MWh according to LSEG data.
The day-ahead contract on the British market rose 2.15 pence, to 85.50 cents per therm.
LSEG data shows that total Norwegian exports will be down by 13 million cubic metres/day compared to the previous day, as maintenance at Kollsnes Processing Plant ramps up.
Analysts at LSEG said that the impact of maintenance is expected to diminish in the next few days.
"Morrow, several maintenances are ending and will ease out. Gassco estimates that maintenance impacts could be reduced by up to 98mcm/d. However, we estimate an increase of total flows around 40mcm/d," said LSEG analyst Saku Jussila.
The supply of gas to Europe via Ukraine has remained constant despite attacks on Ukraine's energy systems.
Gazprom, the Russian gas company, said that it will send 42.3 millions cubic metres of gas via Ukraine to Europe on Thursday. This is the same amount as Wednesday.
Geopolitical tensions are able to change the situation very quickly. The consultancy Auxilione stated in its daily research note that it continues to closely monitor any escalation in the Middle East, or along the Ukraine-Russia border.
The benchmark contract on the European carbon markets was 0.48 euros higher, at 64.15 Euros per metric ton.
(source: Reuters)
