Apollo Energy publishes a daily energy market analysis, focusing on the gas, power and oil markets including a commentary on how the markets close and open. Our analysis provides insight on how the markets are performing and also considers various factors which could dictate price changes in the future.
The analysis also contains a graph which tracks the one-year forward price of both gas and electricity as well as changes to Brent crude oil.
Strengthening fuel markets supported gas prices yesterday with additional bullish pressure provided by restrictions on Norwegian and UKCS supply due to planned maintenance. The LNG outlook for September is also weak and European stocks are below average.
Low demand helped the system open slightly long yesterday but maintenance at Norwegian gas facilities will weaken supply this week and offered support to the near-curve. Brent climbed higher in the afternoon as refineries on the Texan Coast began to re-open, while coal also displayed increases.
Gas prices displayed mixed movement on Friday with planned maintenance providing support to contracts at the front of the curve; export capacity is expected to be reduced by 58.5mcm/ day until the 10th of September. Further out, oil prices failed to provide much support and some contracts recorded a loss.
Gas prices displayed losses across the curve yesterday following an improvement in UKCS production and LNG-send-outs. Warmer weather will also weigh on demand over the weekend, however, a rebound in oil prices offered support to the far-curve.
Undersupplied systems across Western Europe supported gas contracts on Wednesday, although improved UKCS production restricted gains in the UK. Maintenance at Norwegian and Russian gas fields continued to create bullish pressure, although weaker oil helped to weigh on some contracts on the far-curve.