U.K. Gas Declines on Forecasts for Warmer Than Normal Weather
U.K. natural gas for next-day delivery fell as predictions for higher-than-average temperatures cut demand.
Day-ahead gas dropped 1.4 percent, according to broker data compiled by Bloomberg. The low temperature in London will be 9 degrees Celsius (48 Fahrenheit) tomorrow, compared with a 10- year average of 3 degrees, CustomWeather Inc. data show.
Gas for tomorrow declined 0.85 pence to 61.25 pence a therm at 8:08 a.m. London time. Gas for February declined 0.8 percent to 64.2 pence a therm. That’s equivalent to $10.48 per million British thermal units and compares with $3.35 per million Btu of front-month U.S. gas.
Demand in the 24 hours to 6 a.m. tomorrow will be 266 million cubic meters versus a seasonal normal of 304 million, National Grid Plc (NG/) data show. The delivery system was predicted to contain 340 million cubic meters at the end of the period, little changed from the beginning, grid data show.
Imports from Norway were at a rate of 125 million cubic meters a day, compared with a 10-day average of 120 million, according to Gassco AS data. Net exports to Belgium were close to zero, Interconnector Ltd. data show.
Gas accounted for 22 percent of U.K. power production at 8:35 a.m., National Grid data show. Coal generated 45 percent, nuclear 21 percent and wind 4.7 percent, the data show.
Electricite de France SA’s Hartlepool-1 reactor is scheduled to halt for maintenance tomorrow until Jan. 12, according to the company’s website. The 605-megawatt unit was previously scheduled to halt yesterday. EDF said it will start its Torness-2 reactor today after an unplanned halt.
Electricity for the next working day fell 2.2 percent to 45.50 pounds a megawatt-hour, broker data show.
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