An unnamed Norwegian gas field has suffered an unplanned outage which will impact flows to the United Kingdom.
An unplanned outage at a gas field in Norway is expected to be at reduce capacity to 20mcm/ day until October which has led to a sharp rise in gas prices.
The Day-Ahead contract has increased by over 1ppt due to an undersupplied system.
Experts believe that outage has more than likely occurred at the Troll field as the impact on prices would be more substantial if the issue was at either Åsgard or Kvitebjørn. However, the Troll is still the largest gas field in Norway and is now very unlikely to meet its yearly quota.
Flows via the Langeled pipeline are down to 30mcm due to the outage, leaving the system around 20mcm short.
Current demand levels are low due to warm weather but cooler temperatures are forecast to arrive next week, tightening the system.
Further out, the May contract has increased by 0.90ppt, while June has added 0.80ppt to its price.
Today’s energy market analysis will be released around midday, providing more insight into the current supply/ demand outlook for gas, in addition to updates in regards to power and oil markets.