UK GAS-Prices rise on colder weather, weak LNG supply

LONDON, Jan 14 (Reuters) - British wholesale gas prices rose
on Thursday morning as tempratures were expected to drop and
liquefied natural gas (LNG) supply remained weak.

* The within-day contract rose by 2.75 pence to
69.00
p/therm by 0828 GMT.

* The day-ahead contract was 1.00 pence higher
at
69.00 p/therm.

* "North-west Europe fundamentals remain relatively tight;
temperatures are expected to drop further until Saturday and LNG
remains soft due to less busy arrivals," said Xun Peng, gas
analyst at Refinitiv.

* British and Dutch gas prices experienced sharp drops
yesterday,
after soaring on Tuesday due to record high liquefied natural
(LNG) prices in Asia and concerns about less LNG supply to
Europe.

* Traders said the gains earlier in the week were overdone
but
weather and LNG supply remained bullish.

* Temperatures in northwest Europe are expected to drop
below the
seasonal norm until Saturday, Refinitiv Eikon data showed. This
could raise heating demand.

* Peak wind generation in Britain is forecast at 7.4
gigawatts
(GW) on Thursday and Friday, out of total metered capacity of
around 18 GW, Elexon data showed.

* Wind power production is expected to ramp up over the next
few
days.

* The UK system was slightly over-supplied by 6.5 million
cubic
metres (mcm), with demand forecast at 348 mcm and flows at 354.5
mcm/day, National Grid data showed.

* UK gas for February was 0.35 pence higher at
67.75
p/therm.

* The February Dutch gas price was down 0.35
euro at
22.25 euros per megawatt hour.

* The benchmark Dec-21 EU carbon contract was down
0.37
euro at 33.28 euros per tonne.
(Reporting by Nina Chestney)