An outage at the Nyhamna gas processing facility in Norway has limited flows into the UK today, according to the daily market report from npower.
Gas held in the system is therefore expected to reduce by around 6% across the day, Tom Matthews, Client Portfolio Manager suggests.
He added: “Looking at markets today, near curve is down again despite support from a short gas system and the seasons are looking flat.”
The power system looks “comfortable” despite wind being “pretty weak at the moment” but is expected to pick up to around 12% of the UK’s supply at the end of the day, Mr Matthews said.
There has also been “big gains” in nuclear output, currently standing at around 7.2GW.
Mr Matthews suggests keeping an eye on the Nyhamna story: “Any resolution to the power failure may well see flows resume which could put further pressure on gas prices which will lead into power. Also, keep an eye on the Russian story… it has the potential [to be] a big market driver.”