23rd August 2017 | Posted by: Daniel Birkett | Market Analysis

Gas Power
Market Close Market Close
Gas prices moved higher yesterday afternoon, erasing some of the morning’s losses which were a result of an improved supply picture. Bullish pressure was provided later in the session as the impact of the Heimdal’s outage was revised higher and the Euro also strengthened against the Pound. A healthier wind outlook helped to weigh on the prompt yesterday but the rest of the curve moved higher later in the session with direction coming from stronger gas. Oil and coal prices stabilised and did little to impact contracts on the far-curve.
Market Open Market Open
Gas prices are relatively unchanged from yesterday’s close despite improved supply. The system has opened 11mcm long as Langeled flows have increased to 63mcm, however, South Hook nominations are slightly down with no LNG deliveries expected in the next two weeks. Meanwhile, oil prices have stabilised and have provided little support to far-curve contracts. Movement on the power curve is minimal compared to the end of yesterday’s session. Wind generation is around the seasonal norm today but is expected to drop off over the weekend, while solar power will remain average, restricting downward movement.

For a breakdown of the current generation mix visit our Power Generation Insights page.

Brent Summary

Brent 1st-nearby prices recorded a loss yesterday and have dropped below $51.7/b with global oversupply continuing to provide bearish pressure when no obvious market driver is present.

1-year forward prices

Market close data has revealed that the 1-year forward price for commercial gas increased slightly, while commercial electricity decreased – closing at 44.45ppt and £45.44/MWh, respectively.

Today’s prices can also be found in an easy to read table on our ‘current UK energy price' page.

Click graph to enlarge

energy price graph - 23-08-2017

If you would like to learn more about how Apollo Energy can help your business find the best deal on its gas and energy contracts then feel free to get in touch by calling us on 01257 239500 or using the form on our contact form.