Prices for EUROPE GAS remain stable as the storage needs continue to support them
Dutch and British wholesale prices for gas were slightly higher on Monday morning, but are expected to be more volatile this week due to the milder weather being offset by the necessity to replenish storages as peace in Ukraine is still elusive.
LSEG data shows that the Dutch front-month contract rose 0.60 euros to 41.00 euros per Megawatt Hour (MWh), which is $13.01/mmBtu by 0850 GMT.
The contract for the month of May, which is now the front-month was increased by 0.81 euros at 41.40 euro/MWh.
The day-ahead contract in the British market rose by 2.00 pence, to 99.00 pence per therm. Meanwhile, the within-day contract increased by 2 pence, at 98.00 pence per therm.
Analysts at Energi Danmark stated in their morning report that the market started off on a quiet note.
They added, "But we will most definitely be in for another volatile week."
The market is impacted by economic concerns, and the fading hope of a peace deal in Ukraine.
Gas Infrastructure Europe data shows that EU gas storage inventories are currently 33.7% full.
The current European Union regulations require that stocks be refilled to 90% by November 1, but there may be some flexibility in terms of timing and level.
Ulrich Weber, LSEG analyst, said that the temperatures will be warming throughout the week and could lead to similar levels of storage being added this week.
Slovak importer SPP says it won't have any problems filling its storage during the summer. Gazprom, a Russian company, said that it will significantly increase gas supplies through TurkStream to Slovakia from April.
The benchmark contract on the European carbon markets fell by 0.72 euros to 68.08 euro per metric ton. Nora Buli, reporting from Oslo; Vijay Kishore, editing)
(source: Reuters)
