U.K. Day-Ahead Gas Advances Amid Tightening Delivery NetworkMatthew Brown
U.K. natural gas for next-day delivery advanced as flows into the grid declined more than demand, tightening the delivery network.
Day-ahead gas rose as much as 1.9 percent, according to broker data compiled by Bloomberg. Flows fell 13 percent to a rate of 253 million cubic meters a day, National Grid Plc data show. Demand in the 24 hours to 6 a.m. tomorrow was predicted at 259 million cubic meters, down from 269 million yesterday, grid data show.
Gas for tomorrow added 1.1 pence, or 1.8 percent, to 62.9 pence a therm at 3:34 p.m. London time. Next-month gas also climbed 1.8 percent to 65.8 pence a therm. That’s equivalent to $10.63 per million British thermal units and compares with $3.17 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 336 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, according to CustomWeather Inc. data.
Imports from Norway were at a rate of 111 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 30 percent of U.K. power production at 3:30 p.m., grid data show. Coal generated 43 percent, nuclear 18 percent and wind 4.2 percent.
Electricite de France SA’s 625-megawatt Torness-2 reactor started today after an unplanned halt on Dec. 31. 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.
Three 250-megawatt units started at RWE AG’s Tilbury biomass power plant in southeast England after halting because of issues with fuel supply.
Electricity for tomorrow fell 0.3 percent to 45.10 pounds a megawatt-hour, broker data show.