Daily Energy Market Report Friday 11th Jan 19. The UK market has seen some significant gains at the front of the curve this morning as colder weather forecasts and announcements of maintenance has buoyed the market.
Total demand for the UK on Friday is at 313.4mcm, remaining 24mcm above norm for this time of year.
Gas demand for power generation has fallen this morning for the first time this week as wind generation has lifted and is expected to remain strong for the weekend.
There has been an announcement this morning that there will be maintenance between 3rd and 8th February on fields that deliver into SEGAL taking 15mcm offline.
With this being, a minimal capacity restriction the timing coincides with the uncertainty in the weather patterns, which could see a significant cold spell in late January and early February.
Forecasts are altering views daily, leading to some risk still pricing into the market.
Brent Crude prices lifted $2bbl on Thursday but this failed to lift markets as one would have expected 12 months ago as Coal and Carbon prices have picked up the mantle and have seemingly driven gas prices.
The weather in the UK is expected to remain mild and windy until the middle of next week, before temperatures are set to fall back in line with seasonal norm.
Daily Energy Market Report Friday 11th Jan 19 brought to you by British Utilities