Further gas supply outages increases wholesale prices

Soaring carbon prices and extensive Norwegian maintenance supported increases to gas prices at the NBP on Tuesday.

Data from Norwegian operator Gassco shows that 173.97mcm of export capacity will be removed today due to planned works at the major Kollsnes gas processing facility, halting production at the Kvitebjørn, Visund and Troll fields.

As a result of recent maintenance, pipeline flows into Great Britain have dropped from 55.2mcm on Monday, down to 37.2mcm on Tuesday and just 22.7mcm today. Sharp gains on the UK’s incumbent UKA carbon allowance (5.1% day-on-day) added support to contracts further out, as the UKA corrects toward its (EU) EUA counterpart, which the UK is set to adopt in the near future (data from ICE).

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Price commentary courtesy of Crown Gas and Power