LONDON, March 28 (Reuters) - British and Dutch gas prices were mostly higher Monday morning on expected colder weather, with market participants eyeing the results of peace talks between Moscow and Kyiv.
The British gas price for day-ahead delivery rose by 11.50 pence to 230.00 pence per therm by 0846 GMT, while the April contract was up 5.00 pence at 238.00 p/therm.
In the Dutch gas market, the front month contract was up 2.23 euros at 101.23 euros per megawatt hour (MWh).
Temperatures in the UK and north-west Europe are expected to be below normal with light night frost this week and next. A return of stable dry and mild weather is not likely before mid-April, Refinitiv meteorologist, Georg Muller, said.
Stronger demand for heating in the UK and in northwest Europe is expected due to the colder weather forecast and weaker wind speeds are expected to raise gas-for-power demand, Refinitiv analysts said.
A European gas trader said that the market will still be eyeing developments in peace talks between Russia and Ukraine
"The market isn't too optimistic...so (prices) remain elevated, but if nothing changes by the end of the day, the you will see the market dumping," he said.
Peace talks between Russia and Ukraine set to take place in Turkey this week. Ukrainian President Volodymyr Zelenskiy said on Sunday Kyiv is prepared to discuss adopting a neutral status as part of a peace deal with Russia but such a pact would have to be guaranteed by third parties and put to a referendum.
Russian gas deliveries to Europe on three main pipeline routes were stable on Monday morning, with the Yamal-Europe pipeline continuing to flow eastwards from Germany into Poland.
Flows to Germany through the Nord Stream 1 pipeline across the Baltic Sea were at 71,025,104 kilowatt hours per hour (kWh/h) on Monady morning, data from the pipeline operator showed.
In the European carbon market, the benchmark contract rose by 1.9 euros to 80.54 euros a tonne. (Reporting By Marwa Rashad; editing by Nina Chestney)