British and Dutch wholesale gas prices fell on Wednesday morning due to milder and windier weather forecasts which should reduce demand for gas and healthy supply from liquefied natural gas (LNG).
The British day-ahead contract fell by 3.00 pence to 225.00 p/therm by 0927 GMT, while the Q1 price TRGBNBPQH3 was 25.50 pence lower at 245.00 /therm.
In the Dutch TTF market, the January price was down by 7.20 euros at 98.80 euros per megawatt hour (MWh), while the Q1 contract fell by 7.10 euros to 100.50 /MWh.
For Britain and north-west Europe, forecasts point towards milder weather from the middle of the next week compared to previous expectations, Refinitiv Eikon data showed.
“In terms of outlook, a further upward revision in temperature and wind speeds forecasts across Europe for late December and early January is likely to keep bearish pressure on European gas prices today,” said analysts at Engie EnergyScan.
Dozens of LNG cargoes are also expected to unload at European terminals over the next couple of weeks, they added.
An explosion yesterdayin a section of the Urengoi-Pomary-Uzhhorod pipeline has not has any impact on Russian gas transit via Ukraine.
The pipeline enters Ukraine via the Sudzha metering point, currently the main route for Russian gas to reach Europe. But Gazprom said on Wednesday it would ship 42.4 mcm of gas to Europe via Ukraine, in line with recent days.
