Daily Energy Market Report Wednesday 11th July 2018
The UK has opened 7.8mcm long this morning despite forecast demand climbing by 6mcm day on day.
Total demand continues to hold above seasonal average with normal demand at 171mcm and total demand up to 182mcm.
Langeled flows have increased from 35mcm to 46mcm day on day helping with the length in the UK.
IUK exports have fallen slightly but remain high at 44.3mcm, meaning flows have averaged 47mcm since it returned to action on 28th June.
Oil prices have softened overnight and are currently trading at $77.47, nearly $1.50 below Tuesday’s level as the US have weakened their stance on the Iranian sanctions.
The EIA have also released data, which suggests that the US could become the largest producer of Oil if production continues at its current rate, which is also bearish for the market.
The UK is expected to remain warm and above seasonal norm for the coming week with wind levels remaining below seasonal norms, likely to lead to the continued high demand for gas burn to generate electricity.