UK gas prices at the National Balancing Point drifted lower Wednesday as a well-supplied system put some pressure on the prompt, although curve prices were still offering some support to the near-term contracts, traders said. Within-day was down to 17.75 p/therm by midday GMT, down from 18.5 p/th Tuesday, while day-ahead was at 17.95 p/th, down from 18.6 p/th. National Grid data showed demand bang on seasonal norms at 1100 GMT, at 335 million cubic meters/day, and system length at 7.9 million cu m. “We’re well-supplied but the curve is still holding the prompt up a little,” said one trader. “It’s not going to drop massively.” March was trading at 18.35 p/th at lunchtime, down from 18.8 p/th on the previous day, and still below the summer months. April was at 18.5 p/th and
May at 18.7 p/th. Several traders have said they are suprised at the summer premium over the front month. “Everything happening on the prompt is persuading me that the summer should be coming off, but obviously someone else thinks differently,” said one trader. On the far curve, trading was sparse and contracts drifted without any solid direction. “It’s deathly quiet,” said one trader. “The movement’s all pretty irrational at the moment. I think people would like it to come off again, but are too scared to get involved.” Winter 07 did trade down, reaching 40.75 p/th during the morning before firming to 41.2 p/th by lunchtime, compared with Tuesday’s close of 41.95 p/th. Winter 08 was also off, to 41.25 p/th from 42.1 p/th Tuesday, while summer 08 moved sideways to 29.4 p/th.

Contact us directly on 0870 710 7560 or click here to enter your details to arrange a call back or click here for further detailed information on our business gas procurement services.

Related posts...

• June 22, 2010 -- UK Business Energy Prices: (3)
  A new survey carried out by the Economist Intelligence Unit has revealed that over 80% of British firms expect energy and fuel prices to rise sharply and almost 50% have great concern that the UK coul...
• February 21, 2010 -- Identifying a Half Hour Meter: (0)
  How to find out if you have a half hourly meter – So how do you know if you have a half hour meter?  It’s actually quite straight forward, and all you will need to find this out is a recent copy o...
• February 10, 2010 -- UK Business Gas Prices: (0)
  Business Gas Prices can be difficult to understand, as there are many different types of pricing structures available.  You could simply ring around and obtain gas prices direct from suppliers, but it...
• February 7, 2010 -- Oil Prices Back To $70 Range: (0)
  Oil prices plunged in a busy trading session on Friday, triggering big losses across the commodities markets, as investors went back to buying into the US dollar.  Crude oil prices did have a partial ...
• February 5, 2010 -- CRC Business Lights: (1)
  The era of the 'on-all-night' illuminated high street could end, the Environment Agency is predicting. The agency says new rules will force businesses to switch off lights and displays at night to mee...
• February 3, 2010 -- Bglobal Smart Meter Deal: (3)
  Bglobal Plc said it has signed a new agreement to supply and install smart meters for British Gas Business during 2010. The contract value is anticipated at more than £12 million. In addition, the com...

RSS feed for comments on this post. TrackBack URI

You must be logged in to post a comment.