Prices rise on concerns of supply disruption

LONDON, March 29 (Reuters) - British and Dutch gas prices continued their bull run on Tuesday morning amid concerns about supply as Russia and the West continue to be at odds over gas payments in roubles.

The British gas price for day-ahead delivery was up 23.00 pence to 273.00 pence per therm at 0845 GMT, while the April contract was 16.43 pence higher at 270.00 p/therm.

In the Dutch gas market, the front month contract was up 5.00 euros at 114.00 euros per megawatt hour(MWh), while winter 2022 contract was 5.25 euros higher at 100.25 euros/MWh.

Russia's President Vladimir Putin last week demanded that certain countries pay for Russian gas in roubles not euros.

Russia said on Monday it will not supply gas to Europe for free as it works out methods for accepting payments for its gas exports in roubles but G7 nations refused the demand.

On Thursday, the Russian central bank, the Russian government, and Gazprom are expected present their proposals for rouble gas payments to Putin.

"It will then be interesting to see whether Russia follows through on its threat. So far, both sides have appeared keen to avoid being the first to halt the flow of gas," said analysts at Commerzbank.

Russian gas exports via Ukraine to Europe by state-owned Gazprom remained high and stable on Tuesday, the company said.

While local distribution demand zone forecasts for the day-ahead are higher, milder weather is forecast from the start of April which could ease demand for heating.

April to the end of September is the so-called summer gas season, when demand is usually lower and storage can be refilled.

In the European carbon market, the benchmark contract edged up by 0.29 euro to 81.10 euros a tonne. (Reporting by Nina Chestney)