Prices correct higher as tension between NATO and Russia increases

NBP gas prices corrected higher on Thursday, with the Winter 25 front-season contract posting gains of 1.5% when compared to its previous settlement.

Ongoing geopolitical tensions between NATO and Russia remain a key driver. Recent airspace violations, have raised concerns over the security of critical energy infrastructure across Europe.

Several NATO members, including the UK, Poland, and Estonia have signalled readiness to intercept future unauthorized incursions.

These tensions, and the possibility for further escalation are providing underlying support to energy markets.

A gradual recovery in wind power over the previous two sessions was seemingly overshadowed by broader geopolitical tensions.

According to data from National Grid, wind met 28% of GB power demand on Thursday, an increase from 21.4% the day prior and 15.8% on Tuesday, helping to ease gas-fired demand.

Solar generation has also averaged slightly higher week-on-week, offsetting persistently low nuclear output.

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Price commentary courtesy of Crown Gas and Power