U.K. Gas Jumps Most in Three Months as Norwegian Flows Decline
U.K. natural gas for immediate delivery rose the most since June 25 as Norwegian flows slumped amid an unplanned reduction.
Within-day gas gained as much as 3.4 percent to 65.3 pence a therm before trading at 64.8 pence at 2:19 p.m. in London. Gas supplies from Norway, the U.K.’s biggest foreign supplier, slumped to 54 million cubic meters a day, the lowest level in four days and compared with a 10-day average of 67 million, according to data from Gassco AS, Norway’s network operator.
Norwegian gas production will be cut by 9.7 million cubic meters a day today, Statoil ASA (STL) said on its website. Statoil has reduced flexibility at its Troll field in Norway until next summer, Oeystein Michelsen, executive vice president, said in an interview in Oslo on Sept. 5. Norwegian supply from an unspecified field is cut by 34 million cubic meters a day until Sept. 24, according to Gassco.
“It’s not really cold, but with Troll with its very prolonged outage it’s going to be more volatility,” Trevor Sikorski, an analyst at Energy Aspects Ltd., said by telephone today.
The average U.K. temperature next week will be 12.4 degrees Celsius (54 degrees Fahrenheit), 0.8 degrees higher than the seasonal norm, according to MetraWeather data using the ECMWF model at 7:55 a.m. in London.
Day-ahead gas rose as much as 1.8 percent to 64.25 pence a therm, according to broker data on Bloomberg. The next-month contract gained as much as 1 percent to 68.6 pence a therm before trading at 68.35 pence at 2:14 p.m. on the ICE Futures Europe exchange in London.
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