Dutch and British wholesale gas prices rose slightly on Tuesday morning, trading in a narrow range, on strong supply and remarks from U.S. President Trump suggesting a shortened deadline for Russia to agree to a ceasefire in Ukraine.
The benchmark Dutch front-month contract at the TTF hub (TRNLTTFMc1) was up 0.66 euro at 33.58 euros per megawatt-hour or $11.18/mmBtu, at 0900 GMT, LSEG data showed.
The Dutch September contract (TRNLTTFMc2) was up 0.71 euro at 34.16 euros/MWh.
The British day ahead gas price (TRGBNBPD1) was up 0.10 pence at 80.50 pence per therm.
Trump set a new deadline on Monday of 10 or 12 days for Russia to make progress toward ending the war in Ukraine or face consequences, underscoring frustration with Russian President Vladimir Putin over the 3-1/2-year-old conflict.
“Europe has been a big importer of its LNG. Any disruptions to such supply would make refilling its storage facilities difficult,” said Daniel Hynes, senior commodity strategist at ANZ.
Norway’s Troll gas field is having a reduction of 5 million cubic meters per day in flows until 1 August and the restart of the Hammerfest LNG terminal has been delayed by three days.
Residential demand is expected to remain sideways as temperatures are forecast to be warmer across Northwest Europe, LSEG data showed.
“Today, we expect TTF day ahead to trade sideways reflecting a largely stable fundamental backdrop. Prompt demand remains broadly in line with previous forecasts,” said LSEG analyst Yuriy Onyshkiv.
In the European carbon market, the benchmark contract (CFI2Zc1) was down 0.21 euro at 71.13 euros a metric ton.
Source: Reuters