Market waits for proposed trilateral talks to end Russia-Ukraine conflict

A fairly flat session at the NBP yesterday, with market participants already looking ahead to proposed trilateral talks between the leaders of the US, Russia and Ukraine.

Norwegian works are set to ramp up sharply from next week, serving as a price floor for the near-curve, with regional supplies expected to tighten considerably over the rest of August and September.

Year-to-date LNG arrivals continue to outpace 2024 numbers, with 89 recorded up to the end of August (versus 64 last year), with the increase likely being driven by subdued demand across China, Japan and South Korea, alongside other major consumers.

The UK baseload power curve observed a more decisively bearish tone along near-dated contracts as wind generation finally saw improvement following several days of muted output.

Data from National Grid shows that the share of wind in the generation stack rose to 22.9%, up from 12.2% on Monday.

Gas-fired (CCGT) generation remained the largest source of power at 30.1% however, with nuclear trailing behind the same time last year, supporting gas-for-power demand.

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Price commentary courtesy of Crown Gas and Power