Energy Market Analysis - 18-05-2016
18th May 2016 | Posted by: Daniel Birkett | Market Analysis
Gas contracts displayed mixed movement on Tuesday as improved LNG supply and a stronger Pound helped to erase some of the morning’s gains. Norwegian flows remained weak throughout the session which tightened the system, while bullish oil prices supported far-curve contracts.
Energy Market Analysis - 17-05-2016
17th May 2016 | Posted by: Daniel Birkett | Market Analysis
Norwegian flows into the UK decreased yesterday which resulted in numerous gains across the curve, although some European contracts displayed no change due to various bank holidays. Early in the session Langeled output stood at 53mcm but fell to 14mcm in the afternoon which resulted in a tight UK gas system. Meanwhile, a sharp rise in oil prices continues to push far-curve contracts higher with on-going supply concerns the main market driver.
Energy Market Analysis - 16-05-2016
16th May 2016 | Posted by: Daniel Birkett | Market Analysis
The majority of gas contracts displayed a loss on Friday despite a late rally by Brent which ended the session at a strong premium. The UK gas system was long throughout the session due to improved Norwegian flows and increased LNG outlook; weighing on near-curve contracts. Warmer temperatures are also expected to return to the UK before the end of the month which provided further bearish pressure.
Energy Market Analysis - 13-05-2016
13th May 2016 | Posted by: Daniel Birkett | Market Analysis
Gas prices moved down yesterday afternoon as Norwegian flows into the UK recovered following a weak opening which supported near-curve contracts early in the session. Higher exports to Belgium also contributed to an undersupplied gas system but an improvement in supply levels helped it move closer to balance before the end of the session. Meanwhile, a drop in oil prices helped to weigh on prices further along the curve, erasing the morning’s gains.
Energy Market Analysis - 12-05-2016
12th May 2016 | Posted by: Daniel Birkett | Market Analysis
Outages at Norwegian and UKCS gas fields limited supply levels in the UK yesterday which provided support across the near curve on Wednesday. Norwegian flows fell by 15% despite the return of the Nyhamna processing plant, while UKCS flows via the Bacton terminal decreased due to maintenance. An increase in exports to Belgium also lifted demand levels above the seasonal norm despite warm weather reducing residential consumption. Meanwhile, prices further along the curve were dictated by stronger oil contracts following the release of the latest EIA report.