Dutch and British wholesale gas prices traded in a narrow range on Thursday due to stable supply from Norway and from liquefied natural gas, while demand from the power sector softened after the end of the heatwave.
The benchmark Dutch contract for August delivery at the TTF hub (TRNLTTFMc1) was up 0.36 euros at 34.01 euros per megawatt hour by 0907 GMT, LSEG data showed.
The British contract for August (TRGBNBPMc1) was down 1.07 pence at 79.75 pence per therm.
“This morning, we see a mostly unchanged supply side as Norwegian flows and LNG sendout are expected to remain steady on the day ahead. On the demand side, we see gas for power demand drop further,” said LSEG analyst Ulrich Weber.
“The market should remain relatively calm. Hence, we take a sideways stance today with limited upside potential,” Weber said.
A heatwave across Europe has ended and average temperatures across north-west Europe are declining. The lower temperatures have reduced power consumption, with projected gas for power demand on the day ahead down 230 gigawatt hours per day at 1,766 GWh/d.
Total Norwegian export nominations are up 3 million cubic meters per day at 321 mcm/d, with the Karsto gas processing plant out of maintenance, although that is unlikely to have impacted flows.
Only the Troll gas field is left in maintenance, with capacity reduced by 17 mcm/d ending on July 8, LSEG data showed.
In the European carbon market, the benchmark contract (CFI2Zc1) was down 0.27 euros at 71.66 euros per metric ton.
Source: Reuters