“Concern” as fewer LNG tankers head to UK

Fewer tankers headed to the UK may spook the gas market a little, according to the daily market report from npower today. There have been around eight ships a month […]

Register now!

By ELN reporter

Fewer tankers headed to the UK may spook the gas market a little, according to the daily market report from npower today.

There have been around eight ships a month carrying liquefied natural gas (LNG) to these shores over the summer but there are just two on the horizon at the moment.

Ben Spry, Optimisation Desk Manager said: “LNG send out is still not as high as we’ve seen in recent times and a little bit of concern there in the market about cargoes coming to the UK.”

This week LNG ships put about 30 million cubic meters (mcm) of gas into the UK’s system, whereas last week and for majority of August that’s been closer to 40 because of the “healthy” number of cargoes coming in, npower analysts told ELN.

Gas and power prices started the day “a little bit stronger” than they were at the close of trading last night, he said, pointing to front month and front season gas prices.

The UK’s gas system is predicted to close about 6mcm short today although demand is “relatively flat” at just below 170 mcm, said Mr Spry.