Rising gas storage levels helps ease price pressure
Steadily rising storage levels helped to offset issues around supply at the NBP on Monday.
According to the latest data from Gas Infrastructure Europe, aggregate EU storage levels stood at 51.4% capacity as of 8th June.
Though this was 20.2% lower than the same date last year, strong injections over the past few weeks have helped to propel stocks back towards safer levels, now holding above the same date in 2022 and 2021.
Offline Norwegian capacity is now expected to climb gradually toward 93.27mcm/d on 15th June, not falling below 30mcm/d until at least Wednesday 25th (data from Gassco).
On the electricity generation front, gas-fired generation remained subdued on Monday, contributing just 20% to the overall energy mix, as renewable sources continued to deliver consistent output.
This stability in renewables likely helped suppress the need for more expensive and carbon-intensive generation.
Baseload electricity futures appeared to follow movements on the NBP, reflecting a lack of significant market-moving news. This suggests that market participants may have focused on the broader wider energy complex, rather than any new developments in the power sector itself.
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Price commentary courtesy of Crown Gas and Power 