Daily Energy Market Report Friday 25th May 2018
The NBP has opened lower this morning primarily off the back of a drop in oil.
Overnight, Russia stated that they might steadily increase output after keeping a tight grip on supplies since 2017 along with OPEC.
The losses have continued into this morning with a statement from the Russian energy minister detailing that the restrictions in production could be eased gradually over time if the market comes into balance in June.
US production is also contributing losses along with North Koreas measured approach to Trump cancelling a summit with the country, stating that they are open to resolving issues with the US.
The UK system is balanced at 0.5mcm short.
LDZ demand in is line with yesterday at 71.8mcm.
Storage withdrawals are continuing into today with nominations of 9.3mcm.
Langeled is back up and running after being offline yesterday however it is only flowing at 18.1mcm.
The planned maintenance at St. Fergus is ongoing with the unplanned event at Kristin continuing to take 8.6mcm of capacity offline into today.
It is also worth noting that there could be 2 cargoes heading to UK shores in June, the British Sapphire and the Al Karaana.
Recent weather forecasts are looking significantly above seasonal normal for the weekend and beginning of next week, however a cooler back end of next week and into week 23 is expected.