British prompt gas prices fell Monday after deliveries through Norway's Langeled pipeline resumed. Mild weather kept a lid on demand, further pushing gas prices down.
British prompt gas prices fell on Monday after deliveries through Norway's Langeled pipeline resumed, boosting supplies as mild weather kept a lid on demand.
The day-ahead gas contract fell 0.40 pence to 64.05 pence per therm by 0950 GMT, while gas for immediate delivery traded slightly below that level at 63.75 pence.
Prices fell in response to a key import pipeline resuming flow as maintenance at the UK's Easington receiving terminal, an entry point for Norwegian gas, came to an end.
The Langeled pipeline, the UK's main subsea import route, restarted operation on Monday morning, delivering around 16 million cubic metres/day (mcm) to Britain.
Flows are expected to rise to 30 mcm later in the day, according to analysts at Thomson Reuters Point Carbon.
Supplies should rise further as maintenance on the Bacton SEAL gas pipeline is expected to end on Monday, freeing up an additional 4 mcm of gas later, according to nominated flows.