LONDON, Oct 15 (Reuters) - European wholesale gas prices
were mixed on Friday morning, with the Dutch month-ahead up
slightly of transit auctions next week but British prompt prices
down on oversupply and milder temperatures.
* The Dutch wholesale gas price for November
rose by
2.49 euros to 100.00 euros per megawatt hour by 0758 GMT, having
risen to 103.90 in earlier trade.
* Prices could be supported by another rise in Asian coal
prices,
as well as uncertainty about supply, with eyes on whether
Gazprom books gas transit capacity in monthly auctions scheduled
for Monday, traders said.
* However, there is room for some price correction after
breaching
some technical resistance levels yesterday, said analysts at
Engie EnergyScan.
* Chinese coal prices have reached record highs as cold
weather
swept into much of the country and power plants scrambled to
stock up on coal.
* Analysts at Fitch Solutions said they except energy price
volatility to remain high through the winter, with prices
expected to climb even further before pairing back in response
to warmer weather.
* However, prices will stay substantially higher than
long-term
averages.
* "There is a high risk that prolonged or extreme weather
events
could see stockpiles remain lower than average for longer,
setting the stage of continued high energy prices throughout
2022 at least, adding to the risk of energy consumption
curtailment at the expense of economic output," Fitch Solutions
added.
* In the UK market, the day-ahead price was down
6.73
pence at 2.30 pounds per therm, while the weekend contract
was 6.00 pence lower at 2.29 pounds/therm.
* In both Britain and north-west Europe, temperatures are
forecast
to rise slightly above seasonal norms and increase further next
week, which could dampen heating demand, Refinitiv Eikon data
showed.
* The UK system was over-supplied by around 34 million cubic
metres. There is higher send-out of liquefied natural gas than
recently, weaker exports and stronger wind output forecast.
* In Britain's power market, National Grid said on Thursday
it
expects its 2-gigawatt power link with France, which has been
offline for an extended outage, to be running at half capacity a
few days sooner than planned.
* The benchmark Dec-21 EU carbon contract dipped
by 0.11
euro to 61.33 euros a tonne.
* The benchmark Dec-21 British carbon contract
inched
down by 0.24 pounds to 66.00 pounds/tonne.
* More than a million carbon permits were not sold at a UK
auction
last week and their sale will now be spread out across the next
four auctions, the UK's Emissions Trading System (UK ETS)
Authority said.
(Reporting by Nina Chestney)