U.K. Day-Ahead Gas Advances Amid Tightening Delivery Network
U.K. natural gas for next-day delivery advanced as flows declined more than demand, tightening the delivery network.
Day-ahead gas rose 0.7 percent, according to broker data compiled by Bloomberg. Flows fell 23 percent to a rate of 259 million cubic meters a day, National Grid Plc (NG/) data show. Demand in the 24 hours to 6 a.m. tomorrow was predicted at 265 million cubic meters, down from 269 million yesterday, grid data show.
Gas for tomorrow added 0.5 pence to 65.25 pence a therm at 9:41 a.m. London time. Next-month gas climbed 0.6 percent to 65.05 pence a therm. That’s equivalent to $10.55 per million British thermal units and compares with $3.21 per million Btu of front-month U.S. gas.
The delivery network tightened, with the volume of gas in the nation’s pipelines at the end of the day predicted at 335 million cubic meters versus 342 million at the start, grid data show.
The low temperature in London today was 10 degrees Celsius versus a 10-year average of 1 degree, CustomWeather Inc. data show.
Imports from Norway were at a rate of 113 million cubic meters a day, in line with the 30-day average, Gassco AS data show. Exports to Belgium were at a 2.5 million cubic meters a day pace, Interconnector Ltd. data show.
Gas accounted for 21 percent of U.K. power production at 9:05 a.m., grid data show. Coal generated 45 percent, nuclear 18 percent and wind 8.5 percent.
Electricite de France SA’s 625-megawatt Torness-2 reactor was scheduled to start today. The company halted its 605- megawatt Hartlepool-1 reactor for maintenance at 9:30 a.m., National Grid data show. The unit is scheduled to start on Jan. 12.
Electricity for tomorrow fell 0.3 percent to 45.10 pounds a megawatt-hour, broker data show.
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