Gas prices in Europe rise due to low inventory levels
28 November 15:18
Gas prices in the Netherlands and the UK are going up on Friday, November 28, rebounding from the 18-month low reached the day before. The reason for this is the low level of reserves, "Komersant Ukrainian" reports citing Reuters.
The front-end gas futures in the Dutch hub TTF rose by 1.21% to 29.37 euros per megawatt-hour by 12:29 Kyiv time. The day before, it fell to an intraday low of 28.85 euros per megawatt-hour, the lowest since May 2024, amid weak demand and hopes for a settlement of the war in Ukraine.
The January gas contract on the TTF platform went up by 0.92% to 29.50 euros per megawatt-hour.
The cost of gas for tomorrow’s settlement in the UK rose by 2.34% to 76.7 pence per therm.
The risks of a cold winter remain on the market, as the occupancy of gas storage facilities in Europe is about 9% lower than a year ago.
EU gas storage facilities are 77.2% full, according to Gas Infrastructure Europe.
“In Germany, Europe’s largest gas consumer, temperatures are expected to be above normal in the next two weeks, and the prospect of a mild start to winter continues to weigh on both the spot market and futures,” Mind Energy analysts said in a daily note.
Gas exports from Norway remained strong, with bids remaining at Thursday’s level of 336 million cubic meters per day, and LNG supplies were also stable, according to LSEG data.
