UK gas system roughly balanced – DMR

The gas system in the UK has opened “roughly balanced” this morning. According to npower’s daily market report, Langeled flows remain “subdued” at around 50mcm while on the LNG side, […]

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By Priyanka Shrestha

The gas system in the UK has opened “roughly balanced” this morning.

According to npower’s daily market report, Langeled flows remain “subdued” at around 50mcm while on the LNG side, South Hook is withdrawing “a touch higher” than yesterday.

Two LNG tankers are expected to arrive next weekend “which will definitely help as we are expecting colder temperatures,” said Alex Guiot from the Optimisation Desk.

On the power side, the peak margin is a “bit lower than yesterday” – at just below 10GW.

Wind is providing 2.4GW of capacity and is expected to ramp up to 5GW later today. CCGTs are providing 32% of the stack and coal 22%.

 

The Dutch interconnector is importing at full capacity while the French one is finally back to its cap level of 1.5GW.

Mr Guiot added: “Elsewhere the pound is slowly rebounding after breaking down its strong support at 1.41. The European Central Bank is expected to further reduce its deposit rate and expand asset purchases, kicking off a crucial 48-hour period for global markets.

“On oil, Brent month-ahead contract broke its $44/Bbl (£29.5/Bbl) level mark yesterday and is trading at just above $43/Bbl (£28.8/Bbl) now. Saudi Arabia comments tomorrow at the OPEC’s meeting in Vienna might not be enough to counter oil’s sell-off in case of monetary policy divergence.”