UK GAS-Prices rise as cooler temperatures loom

LONDON, April 28 (Reuters) - British wholesale gas prices
rose on Wednesday morning as expectations of cooler weather
ramped up demand and prices built on the previous day's gains
following the outcome of an auction for additional transit
capacity through Ukraine.

* The within-day contract was up 1.75 pence at
59.00
p/therm by 0846 GMT.

* The day-ahead contract was up 1.20 p at 59.00
p/therm.

* Traders said forecasts showed temperatures were expected
to be
below season norms for the next few days.

* Analysts at Refinitiv forecast local distribution zone
(LDZ) gas
demand, which is used for heating, at 152 million cubic metres
(mcm) for Wednesday and 155 mcm for Thursday.

* The forecasts were 18 mcm and 6 mcm higher respectively
than
previous forecasts.

* “The latest… forecast confirmed well below-normal
temperatures
in the UK and even adjusted 0.5 degrees Celsius lower for the
rest of this week and around 1C lower for the next week,”
analysts at Refinitiv said in a daily research note.

* Gas prices soared on Tuesday after an auction for
additional
transit capacity through Ukraine showed no capacity had been
allocated, reducing the possibility of higher deliveries of
Russian gas into Europe in May.

* The May contract was up 1.20 p at 56.20
p/therm.

* The day-ahead gas price at the Dutch TTF hub
was up
0.69 euro at 21.90 euros per megawatt hour.

* The benchmark Dec-21 EU carbon contract was up
0.82
euro at 48.12 euros per tonne.

* The price of EU carbon permits has soared around 60% since
the
European Union agreed last December to toughen its climate
targets, which will increase demand and lead to fewer permits
being available.

* The Dec-21 contract earlier on Wednesday hit a fresh
record high
of 48.15 euros/tonne.
(Reporting By Susanna Twidale; editing by Nina Chestney)