Reports of fresh peace talks helps reduce pressure at the NBP

A late afternoon sell-off on Tuesday erased some of the gains stacked up over the previous seven sessions at the NBP.

According to data from ICE, the Winter 26 front-season contract reduced by 4.4p/therm (0.15p/kWh) when compared to its previous settlement.

Reports of fresh Iran-Oman talks aimed at opening a safe transit corridor via Hormuz (including the removal of mines) fed some optimism into market sentiment, despite the announcement of heavy US economic sanctions earlier this week.

From a supply perspective, steady Norwegian flows are serving as a price ceiling for the near-curve. Operational data suggests that imports via the Langeled pipeline met circa 45% of British demand in Tuesday’s session.

Recovering renewables and a weak wider energy complex combined to pressure the front-end of the baseload power curve on Tuesday.

Data from Elexon shows that wind power averaged at a rate of 11.2GW, up from 6.2GW the previous day, prompting a 35.3% reduction in gas-for-power (CCGT) demand over the same period.

Bearish sentiment across related markets served as the primary source of pressure, according to ICE data, the Brent Crude and NBP Natural Gas benchmark contracts fell by 3.9% and 2.6%, respectively.

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Price commentary courtesy of Crown Gas and Power