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EUROPE GAS-Prices mixed on stronger demand, profit taking

Tue, 19th Oct 2021 10:39

LONDON, Oct 19 (Reuters) - British and European wholesale
gas prices were mixed on Tuesday morning as stronger demand was
forecast but some profit-taking results in some contracts to
decline.

* The Dutch wholesale gas price for November
was
3.00 euros higher at 93.50 euros per megawatt hour (MWh) by 0916
GMT.

* The Dutch wholesale gas contract for next day delivery
rose by 3.48 euros to 88.68 euros/MWh.

* In the UK market, the day-ahead price was 4.75
pence
higher at 207.75 p/therm but the within-day contract
fell by 6.75 pence to 208.25 p/therm.

* The November contract was 5.50 pence lower at
228.00 p/therm.

* There is higher forecast demand for heating and
gas-for-power
demand due to lower temperature forecasts than previously,
Refinitiv Eikon data showed.

* "Strong demand in north-west Europe is also incentivizing
UK
exports to the continent, which amid stable flows from Norway,
pulls more gas from UK storages," said Yuriy Onyshkiv, gas
analyst at Refinitiv.

* Prices were volatile on Monday, after news that Gazprom
had
booked a third of offered additional gas transit capacity via
the Yamal-Europe pipeline via Poland for November and has not
booked any volumes via Ukraine.

* But gains were dampened slightly by news that the first
line of
Nord Stream 2 had been filled with technical gas.

* "The supply situation will remain tight until Russia
begins
delivering more natural gas. Work has meanwhile begun to fill
the now completed Nord Stream 2 Baltic Sea pipeline with
technical gas so as to build up the pressure required for
regular gas transport," said Carsten Fritsch, energy analyst at
Commerzbank.

* The benchmark Dec-21 EU carbon contract edged
down by
0.45 euro to 58.11 euros a tonne.
(Reporting by Nina Chestney)

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