Prices for Europe GAS slightly lower due to healthy Norwegian and LNG supplies
The prices of Dutch and British natural gas were lower Tuesday morning due to warm temperatures, a strong supply coming from Norway and LNG. Market players continue to monitor developments regarding tariffs and the talks to end Ukraine's war.
LSEG data shows that the benchmark Dutch front-month contract fell by 0.17 euros to 34.50 Euro per megawatt hour or $11.31/mmBtu at 0758 GMT.
The Dutch June contract is down 0.27 euros at 34.49 Euro/MWh.
The British day-ahead contracts was down by 1.00 pence to 83.50p/therm.
The flow of oil from Norway has increased by 11 million cubic metres per day (mcm/d), and no maintenance disruptions are expected to affect volumes before April 25.
In a morning report, Ulrich Weber, LSEG's analyst, said that eight new LNG ships are on the schedule to arrive in north-west Europe. This will enable a steady level of sending to continue.
The weather forecasts have barely changed. He added that we anticipate a slight increase in demand for the next day, 260 gigawatt-hours per day.
LSEG data indicated that temperatures will remain up to 4-5°C above normal for the majority of this week and then get slightly colder next.
On Tuesday, Russian Foreign Minister Sergei Lavrov stated that it is not easy to reach an agreement with the United States regarding the main parts of a potential peace deal that would end the conflict in Ukraine. He also said that Russia will never again depend on the West economically.
The European Commission, which has twice delayed the plan, will unveil a more detailed plan on May 6, to phase out Russian gas and oil imports in the coming month.
Gas Infrastructure Europe (GIE), according to its data, reported that Europe's storage sites for gas were almost two thirds empty at the end of winter and last recorded as being 35.58 percent full.
The benchmark carbon contract in Europe was down by 1.07 euros, at 65.89 euro per metric ton. (Reporting and editing by Nina Chestney; Marwa Rashad)
(source: Reuters)
