Prices ease amid a fragile US-Iran ceasefire.

Gas prices eased at the NBP on Friday amidst a fragile US-Iran ceasefire.

The Winter 26 front-season contract closed out the week at around 110p/therm after posting losses of circa 7.5p/therm (0.26p/kWh) when compared to its previous settlement.

Looking at supply side fundamentals, pipeline flows from the largest supplier to the European market, Norway, are expected to varying levels of disruption over the next few weeks as the summertime maintenance season gets underway.

European countries, including the UK, usually replace the reduction in Norwegian supply with LNG cargoes, which themselves are slightly more stretched due to the disruption of transit via the Strait of Hormuz.

Baseload power prices continued to track movements across the wider energy complex closely, reflecting broader trends in gas, crude oil and carbon markets.

Over the past week, average wind generation edged slightly lower, reducing renewable output and offering some underlying support to prompt prices.

However, upside was limited as gas-fired generation (CCGT) remained capped by a gradual softening in system demand, a typical seasonal pattern as temperatures rise and the market moves deeper into spring.

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Price commentary courtesy of Crown Gas and Power