U.K. Natural Gas Declines as Norwegian Flows Reach Two-Week HighMatthew Brown
U.K. natural gas for next-day delivery dropped for the first time in four days as imports from Norway rose to the fastest rate in more than two weeks amid stronger demand.
Day-ahead gas fell as much as 1.5 percent, according to broker data compiled by Bloomberg. Flows from Norway, the U.K.’s biggest source of imported gas, climbed as high as 129 million cubic meters a day, the most since Jan. 18, Gassco AS data show. Demand in the 24 hours to 6 a.m. tomorrow will be 321 million cubic meters, the most since Jan. 26, National Grid Plc data show.
Gas for tomorrow dropped 0.5 pence, or 0.7 percent, to 67.5 pence a therm at 4:14 p.m. London time. Month-ahead gas slid 0.5 percent to 66.5 pence a therm. That’s equivalent to $10.43 per million British thermal units and compares with $3.34 per million Btu of front-month U.S. gas.
Imports from the Netherlands were as high as 35 million cubic meters a day, the most since Jan. 26, after falling yesterday to 19 million, the least since Nov. 15, National Grid data show. Pipeline flows from Belgium will be 18 million cubic meters, the most since Jan. 24, Interconnector Ltd. data show.
Gas accounted for 28 percent of U.K. power production at 4:10 p.m., grid data show. Coal generated 40 percent, nuclear 16 percent and wind 9.2 percent.
Electricity for tomorrow added 1.7 percent to 48.90 pounds a megawatt-hour, broker data show.