UK gas production strong – Y Report
The end of maintenance has seen UK gas production strengthen this week, according to Inenco’s Y Report.
This is with the exception of flows from Langeled, which have briefly fallen due to one day maintenance work.
The Troll gas field has reached its production quota so is unlikely to supply gas until October.
Wind generation has strengthened and is boosting UK renewables.
The last nuclear units in the UK are also now back online.
Oil prices have settled at around $50/bbl (£38.11/bbl) after weakening slightly due to a stronger US dollar.
Gas and power prices fell last week and have sustained those losses. However, contracts close to delivery have consolidated around April lows and have halted their losses due to uncertain near term fundamentals.
Energy Trader Rebecca Hermolle said: “For those of you with fixed price contracts, time is a precious thing. Don’t waste it and secure your prices now to achieve the current low prices. For those of you with flexible contracts, the recent break of the uptrend has signified a potential downtrend over the short term.
“You could look at unhedging some of your volume and optimising your position, however remain cautious because winter is likely to be volatile with prices maybe increasing during delivery.”