LONDON, Aug 24 (Reuters) - British and European gas prices
rose on Tuesday morning amid continued uncertainty around the
Nord Stream 2 (NS2) pipeline startup and low liquefied natural
gas supply.
* The UK September contract rose by 1.25 pence
to
107.25 pence per therm by 0802 GMT.
* At the Dutch TTF hub, the September price was
1.50
euros higher at 44.10 euros per megawatt hour.
* Continued uncertainty about the start of flows through the
Nord
Stream 2 pipeline is helping to buoy prices, traders said.
* "Construction works on Nord Stream 2 pipeline might
continue
until September, measurably later than the initial expectation
of the end of August, and any commercial flows may not be able
to start until next year," said Xun Peng, gas analyst at
Refinitiv.
* A German regional court will decide on Wednesday whether
European Union rules requiring the separation of energy
production from transportation and trade must be applied to the
pipeline.
* Although this will not affect the completion of the
project, if
the court rules against the bundled ownership, Russia’s Gazprom
could be forced to auction pipeline capacity, which could delay
deliveries further, Peng added.
* Also helping to support prices is weak liquefied natural
gas
supply and expectations of slightly higher wind output.
* UK peak wind generation is forecast at 2.6 gigawatts (GW)
on
Tuesday and 4.3 GW on Wednesday, out of total metered capacity
of around 20 GW, Elexon data showed.
* Despite this, the UK system was over-supplied by around 15
million cubic metres (mcm), with demand forecast at 149 mcm and
supply at 164 mcm/day, National Grid data showed.
* The benchmark Dec-21 EU carbon contract was up
by 0.71
euros at 56.05 euros a tonne.
* The benchmark Dec-21 British carbon contract was
slow
to trade.
(Reporting by Nina Chestney)