Gas imports through the Langeled pipeline from Norway have increased, according to npower’s daily market report.
They were lower after full maintenance at Troll gas field on Friday however they have risen by 11mcm today to 43mcm.
Gemma Bruce from npower’s optimisation desk said: “We can expect flows to remain around this level until 17th August when maintenance at Kollsnes [gas treatment plant] could have an impact on Norwegian flows to the UK.”
The rise in Norwegian flows has meant the UK gas system has opened oversupplied. The linepack is currently forecast to close 16mcm long.
LNG send-out remains stable at around 30mcm.
Ms Bruce added: “Exports to the continent via the IUK [Interconnector] pipeline are up today at 34mcm – likely incentivised by the long gas system in the UK.”
Power margins remain around the 10GW level with gas-fired generation dominating the stack.
Ms Bruce went on: “Nuclear generation is stable at 6.8GW but with Hunterston B-7 [power station] due to start refuelling tomorrow, we will see nuclear contribution drop for the duration of the refuelling programme.”
Wind generation is “relatively subdued” at 1.1GW. It is falling below forecasts an d is expected to tail off further tomorrow. Ms Bruce said: “We are likely to see an increase in gas-fired generation to compensate.”
Oil prices continue to come under pressure from the oversupplied market and poor Chinese data. It is currently trading at $48.52 a barrel (£31/Bbl).
Ms Bruce added: “Disappointing data from China over the weekend showed that exports tumbled in July by 8.3% – the biggest decline in four months.”
Greece’s finance and economy ministers were locked in negotiations with representatives of creditors yesterday with the talks running into the early hours of this morning.
Ms Bruce went on: “The hope is that negotiations will be concluded by Tuesday with the bailout accord expected to go to parliament for approval by 18th August.”