EUROPE GAS-Prices firm in volatile trade amid falling Norwegian flows
April 20 (Reuters) – UK and Dutch wholesale gas prices rose slightly on Wednesday morning amid volatile trading activity, as maintenance curbed Norwegian gas flows to Britain and concerns over future Russian gas supplies persist.
On the British gas market, the day-ahead contract TRGBNBPD1 rose 11 pence to 165.00 p/therm at 09:05 GMT, with the intraday contract TRGNBPWKD up to 3 pence at 165.00 p/therm.
Flows from Norway to Britain fell on Wednesday morning amid the start of maintenance at the giant Troll gas field and Kollsnes processing plant, Refinitiv analysts said in a daily research note.
Still, steady flows of liquefied natural gas (LNG) continued to balance supply, while rising wind speeds reduced gas demand for power generation this week, analysts said.
Temperatures are expected to be warmer through the end of the week before dipping below normal starting early next week, according to data from Refinitiv.
The Dutch May Contract TRNLTTFMc1 increased by 0.60 euro to 95.60 euro per megawatt hour (MWh).
“Volatility will remain high as everyone keeps an eye on EU-Russia relations,” analysts at Energi Danmark said in a morning note.
A halt or severe reduction in Russian gas supplies to Europe, either through Russia or an EU embargo, remains the main near-term risk and is driving prices higher, analysts said on Wednesday. of the Berenberg bank in a report.
Russian gas flows are also the most important factor for the construction of gas storage until next winter, they added.
Deliveries of Russian gas to Europe via Ukraine and via the Nord Stream 1 pipeline to Germany increased slightly on Wednesday morning while eastward flows to Poland from Germany via the Yamal-Europe pipeline have remained stable.
EU gas storages were 29.13% full as of April 18, according to data from Gas Infrastructure Europe.
The European Union has set a filling level target of 80% for November 1st.
On the European carbon market, the reference contract CFI2Zc1 gained 2.73 euros to 82.93 euros per tonne.
(Reporting by Nora Buli in Oslo; Editing by Susanna Twidale)
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