Sarah Fairhurst

As of 8th October 2024, the UK energy markets have started the day with notable fluctuations in both gas and power prices, driven by supply constraints and shifting weather conditions. In the gas market, the NBP Day-Ahead price climbed to 100.00 p/therm, reflecting a 2.20 p/therm increase from the previous session. This rise comes amid reduced gas flows from Norway due to ongoing unplanned maintenance at the Asgard field and an extended outage at Troll, impacting total exit flows. Despite this, exports from Norway to the UK via the Langeled pipeline have increased, supporting the UK system, which opened 8 mcm/day long this morning. LNG send-out has decreased to 11 mcm/day, with three new cargoes expected to arrive in the UK over the next three weeks. UK storage injections continue, and pan-European storage remains robust at 94.56%, though minor withdrawals are being observed in some countries. On the power side, the UK Day-Ahead baseload price rose to £89.09/MWh, up by £12.85/MWh compared to the previous session, while the peak load price surged to £94.14/MWh. This price spike is largely due to expected cooler temperatures from tomorrow, which will drive up heating demand through the middle of the month. Wind output remains strong and is forecasted to stay above seasonal norms for the next two days before stabilising at average levels. Nuclear outages continue to play a significant role, with several key plants still offline or under maintenance, further tightening supply. Looking at other energy commodities, Brent crude oil is trading at $80.93/bbl, a $2.88 increase from the previous settlement, driven by a combination of OPEC+ cuts and ongoing geopolitical risks. Coal prices for ARA CIF Cal Y+1 settled at $127.25/tonne, slightly down by $0.54/tonne. In the carbon market, the EU ETS Dec-24 contract fell to €61.76/tonne, the lowest level in six months, while the UK ETS Dec-24 contract dropped to £35.29/tonne. These declines come amid lower industrial activity and cooler weather across the continent. In currency markets, the GBP/EUR exchange rate dipped slightly to 1.1916, while GBP/USD fell to 1.3083, reflecting ongoing global economic uncertainties. As colder weather sets in and supply challenges persist, the UK energy markets are likely to remain volatile. Keep an eye on gas imports, LNG arrivals, and nuclear availability, as these will be key factors influencing prices in the coming days.

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Daily Energy Market Update - September 2nd, 2024 Today’s UK energy market saw significant movements, particularly in both gas and power prices. The NBP Gas Day-Ahead price experienced a notable increase of 2.65%, reaching 94.79 p/th. This upward trend extended to key contracts such as October 2024, which rose by 2.07% to 96.15 p/th. These price movements reflect the current market dynamics and underlying factors influencing supply and demand. In the power market, UK Base Day-Ahead power prices surged dramatically, with a sharp increase of 42.56%, bringing the price to £91.97/MWh. Even more striking was the rise in peak power prices, which climbed by 56.12% to £93.50/MWh. These significant jumps in power prices can be attributed to several critical factors impacting the market this week. One of the primary drivers is the forecasted shortfall in wind power generation. This week, wind output is expected to fall over 20% below seasonal norms. As wind plays a crucial role in the UK's energy mix, this reduction in generation capacity is putting upward pressure on prompt energy prices, as the market anticipates a tighter supply-demand balance. Adding to the bullish sentiment in the gas market is the ongoing industrial maintenance in Norway, which is set to have a considerable impact on gas flows. With a reduction of 40 million cubic meters per day in Norwegian gas flows, the market is reacting with higher prices as supply tightens. Despite these factors, temperatures in Britain for the week are expected to align with seasonal norms. While this will likely have a limited impact on gas demand, the market is more focused on the supply-side constraints and the reduced wind generation that are driving prices higher. Looking at the broader energy complex, we see TTF Gas Day-Ahead prices inching up by 0.89% to €39.15/MWh, while the Front Month price rose by 2.43% to €39.82/MWh. On the global front, Brent Crude prices declined by 2.46%, now trading at $76.93 per barrel. Meanwhile, in the carbon markets, both UK and EU carbon prices saw minor declines, with UK carbon closing at £43.31 per tonne, down 2.61%. In summary, today’s energy market activity is shaped by a combination of reduced wind generation, significant Norwegian gas maintenance, and stable temperature forecasts. These factors are collectively driving the sharp increases we’ve seen in UK power and gas prices. As we move further into the week, it will be crucial to monitor how these elements continue to influence the market. Stay tuned for more updates, and as always, feel free to reach out with any questions or for deeper insights into these trends.

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Today October 11th, 2024, the UK energy markets opened with a strong position, reflecting the ongoing shifts in both gas and power sectors. NBP day-ahead gas prices were up to 98.50p/therm, continuing the upward momentum seen from yesterday as colder-than-expected temperatures swept across Europe, leading to increased demand. The UK system opened long at 11mcm/day this morning due to revised down demand forecasts and higher flows from Norway through Langeled. Norwegian supply remains robust despite unplanned outages at Troll and Gullfaks, which are expected to resolve by early next week. LNG send-out remained steady at 12mcm/day, primarily from the South Hook terminal, with two LNG cargoes expected to arrive in the coming weeks. European storage levels are high, at 94.74%. UK day-ahead power prices surged to £87.67/MWh, driven by the rising gas prices and colder weather. Forward power contracts also saw gains, with November 2024 base contracts trading at £86.50/MWh, reflecting the tight supply outlook as temperatures are expected to remain below normal until early next week. EDF’s announcement that their output target for next year remains unchanged at 335-365TWh provides some stability to the market, although nuclear outages in the UK and Europe remain a concern. Notably, Sizewell B begins planned maintenance today, reducing its capacity by 490MW for the next 47 days. Brent crude oil prices rose to $79.40/bbl, fueled by a combination of geopolitical tensions and supply concerns. In parallel, carbon prices climbed to €65.00/tonne for EUA Dec 2024, and UK ETS prices increased to £38.07/tonne. The rise in carbon prices adds further pressure on power markets, particularly as coal prices also saw a significant jump, with ARA CIF coal for Cal 2025 reaching $126.15/tonne. The currency markets saw minor fluctuations, with the GBP/EUR exchange rate at 1.1949 and GBP/USD at 1.3058, as the energy sector keeps an eye on global economic indicators that could affect import costs and inflation. As we head into mid-October, the outlook remains bullish with colder temperatures expected to continue driving demand. Two more LNG cargoes are expected by early November, providing some relief, but supply risks persist. We could see continued price volatility as the market navigates these challenges.

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Daily Energy Report November 8th: A cool start to the day finds UK energy markets bracing for lower-than-average temperatures across Europe, impacting both gas and power prices. The UK gas system began the morning undersupplied by 10 mcm/day, with colder weather set to intensify from mid-November. Natural gas for power demand is lower on the day-ahead, as wind generation rises, offsetting the need for gas-fired power production. LNG supplies are stable at 33 mcm/day, with three cargoes scheduled for arrival soon, helping to maintain a steady flow of imports into the UK and Northwest Europe. Norwegian exports remain consistent at 331 mcm/day, despite minor disruptions due to unplanned maintenance at key sites. The UK Day-Ahead gas price is at 103.65 p/therm, a slight rise compared to previous days as the seasonal temperature drop begins to reflect in pricing. Expectations for lower-than-normal temperatures, particularly from November 13th onward, are feeding into this price firming. Curve contracts also strengthened, driven partly by broader market influences, including movements in the oil markets and post-election volatility in the US. In parallel, Pan-European gas storage levels remain robust at 94.43%, a comforting buffer as winter demand looms. On the power side, UK Day-Ahead baseload is trading at £96.10/MWh, with high wind generation easing some pressure on gas demand for electricity production. Nuclear output remains steady at 4.7 GW, though two reactors remain offline, accounting for a total of 1.2 GW in curtailed capacity. Wind is expected to continue to play a critical role in balancing the grid over the coming days, while solar output, currently low, is anticipated to exceed normal levels starting Monday. Commodities also show price adjustments: Brent crude for December is up to $75.63 per barrel, while coal for 2025 delivery sits at $121.12/tonne, reflecting steady demand expectations. Carbon pricing for EUAs has climbed to €66.04/tonne, with the UK ETS at £38.00/tonne, underscoring the ongoing pressure on carbon markets amid seasonal adjustments and higher demand forecasts. On the currency front, the pound has seen minor movement, with the GBP/EUR exchange rate at 1.2021 and GBP/USD at 1.2986. This currency stability aids in smoothing import costs, particularly for gas, but shifts in either direction remain likely as winter demand and international market conditions evolve. Today’s market data highlights the intricate balance of supply and demand factors at play as the UK and Europe prepare for colder weather and a potential uptick in heating and power requirements. As conditions shift in the coming days, these factors will continue to define energy prices and trading behaviors across the UK and beyond.

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End of Day Market Update September 2nd: Energy Markets See Mixed Movements Amid Market Corrections As the trading day drew to a close, energy markets presented a complex and varied landscape, reflecting a mixture of retracement, corrections, and slight gains across key sectors. The UK front-month gas market, in particular, experienced a noticeable sell-off, likely driven by a retracement after reaching recent highs. This decline underscores a potential cooling off in market exuberance as traders reassess positions in response to evolving market dynamics. By the end of the day, the front-month UK Power contract had slipped to £79.00, marking a substantial decline of 2.71%. This drop reflects broader concerns about demand and supply imbalances in the energy market. In tandem, the National Balancing Point (NBP), which serves as a key benchmark for gas trading in the UK, also experienced a significant downturn. Prices fell by 2.97%, ending the day at 93.29p. This downward movement suggests a broader re-evaluation of gas market fundamentals, potentially influenced by factors such as fluctuating demand forecasts and the ongoing adjustments in energy supply chains. Conversely, the carbon market offered a different narrative, with the December 2024 European Union Allowances (EUA) posting a modest gain. The EUA's price edged up by 0.18% to close at €70.43, reflecting continued interest in carbon trading as market participants anticipate future regulatory impacts and the ongoing shift towards more sustainable energy practices. However, the UK Allowances (UKA) market diverged from this trend, with prices falling by 1.5% to settle at £42.66. This decline may indicate regional variations in carbon market dynamics or differing expectations regarding carbon pricing mechanisms within the UK context. Meanwhile, Brent crude oil, a global benchmark, maintained relative stability throughout the trading session. After slight fluctuations, Brent crude closed the day with a marginal loss of 0.04%, bringing the price to $76.90. This stability suggests that the oil market is currently in a holding pattern, with traders awaiting clearer signals from global economic indicators and geopolitical developments. Overall, today’s market activity paints a picture of a market in flux, with energy prices adjusting in response to a complex interplay of supply, demand, and regulatory factors. The divergent trends across different sectors—gas, power, carbon, and oil—highlight the importance of a nuanced approach to market analysis as participants navigate these challenging and unpredictable conditions. As these trends continue to evolve, market watchers will be keenly observing for signs of further corrections or potential rebounds in the days ahead.

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Could low valuations for #CleanEnergyGroups be hampering #EnergyTransition??? Could #Subsidies and intermitent #LowElectricityPrices be having any influence on these low valuations???

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A new article by the Financial Times explains the issues amassing as part of Britain’s clean energy transition: “Sixty-three per cent of the roughly 4,000 applications submitted for wind, solar and battery projects between 2018 and 2023 have been refused, abandoned, withdrawn or had their planning permission expire, according to Cornwall Insight, an energy consultancy.  A further 18 per cent have been sent back for revision, leaving only a fifth of projects either waiting for a planning decision or ready to be built.” While renewables will play a crucial role in the fight against climate change, these problems highlight the need for energy saving alongside the clean transition. Furthermore, demand side response and time of day tariffs are best paired with granular energy data. Lesson learned? it’s not just about where your energy comes from, it’s how, when and how much you use it! https://lnkd.in/e3GxQEfe   #energytransition #cleanenergy #energymanagement #climatechange #renewableenergy

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UK Energy Market Update - September 3rd, 2024: As we move into the first week of September, the UK energy market is experiencing some notable shifts. Cooler-than-average temperatures are forecasted for next week, which could potentially create upward pressure on energy prices. This is compounded by a reduction in Nordic flows, adding further strain to the market. These weather-related factors are likely to influence market dynamics in the short term. On the renewable energy front, generation continues to underperform compared to seasonal expectations. Despite this, day-ahead (DA) power prices have remained relatively stable since yesterday. However, the continued shortfall in renewable output, particularly from wind and solar, introduces a level of unpredictability in power generation, which could have ripple effects on market prices as we progress through the month. In the gas market, flows from Norway are seeing significant reductions, with no gas flowing through the Langeled pipeline and further cutbacks along the Vesterled line. The situation is further complicated by the shutdown of the IUK interconnector today, which has reduced UK gas exports by 11 mcm/d. While this reduction in exports provides a slightly looser balance than might be expected given the heavy maintenance, it highlights the ongoing supply challenges the market faces. Overall, with European gas storage seeing its first withdrawal in months due to the reduction in Nordic flows, the energy market remains on edge. Although storage levels are expected to accumulate slowly over the next two weeks, the ongoing maintenance work will keep the balance delicate. Market participants should remain vigilant as these developments unfold.

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Daily UK #Energy #Market Update –Monday 2nd December 2024: Today’s energy markets paint a dynamic picture with fluctuating conditions influencing gas, power, and renewables. As of this morning, the UK's gas system opened long by 12 mcm/day, supported by slightly above-seasonal-normal temperatures. Gas contracts continue to edge upward, influenced by the EU's increased storage fill mandates. Day-Ahead NBP prices stood at 116.30 p/therm, reflecting a 0.95 p increase from the previous session. Seasonal forward contracts also saw gains, with Winter 2025 now priced at 108.57 p/therm. On the power side, Day-Ahead baseload prices decreased to £94.11/MWh, a notable dip from last week. This comes amidst reduced wind generation today, expected to decline by 7 GW before rebounding midweek. Nuclear capacity remains constrained due to ongoing outages at several UK sites, including Sizewell and Heysham. However, the Sizewell B-1 reactor's planned return on 5th December should offer some relief. Internationally, geopolitical tensions added complexity to the gas supply landscape. Russian flows dropped by 3%, following disruptions linked to an arbitration case between OMV and Gazprom. Despite these concerns, LNG imports remain robust, with 12 carriers en route to the UK over the coming weeks, bolstering energy security. Oil prices remain subdued, with Brent crude trading at $72.94/bbl, while coal prices stabilized at $122.80/tonne. Carbon markets also moved slightly upward, with EUA Dec-24 contracts closing at €68.40/tonne. The UK faces a mixed weather outlook this week, with sharp temperature fluctuations expected before stabilising around seasonal norms by 8th December. Wind power variability will likely shape gas reliance over the coming days, maintaining a delicate balance in supply and demand dynamics. Stay tuned for tomorrow’s update as we continue to monitor the impact of these developments on market trends and pricing.

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UK #Energy #Market Report - 9th September 2024: The UK energy market saw an uptick in both gas and power prices as cooler weather pushed demand higher. The NBP Day-Ahead price settled at 87.50 p/therm, reflecting a slight increase from the previous session. The UK system opened balanced this morning, with demand rising due to colder temperatures across the country. According to the latest EC46 forecast, temperatures are set to remain several degrees below seasonal norms throughout the week, before picking up slightly towards the weekend. Despite increased demand, wind generation has been performing well, alleviating some of the pressure on gas for power generation. Total gas export nominations from Norway have dipped slightly, from 192mcm/day to 185mcm/day, but the UK remains well supplied, with four LNG cargoes expected to arrive this week. One of these shipments docked at Isle of Grain today, underscoring the importance of LNG imports in balancing the UK’s gas needs. On the power side, UK Day-Ahead Baseload prices rose significantly, settling at £83.33/MWh, up £10 from the previous day. Peak prices also climbed to £85.03/MWh. The cooler weather has increased heating demand, while intermittent renewable generation continues to play a crucial role. Over the past two weeks, the UK's power mix has been dominated by gas-fired plants, supported by steady contributions from nuclear and renewables. Carbon prices saw a modest rise, with EU Allowances for December 2024 trading at €66.50/tonne. Meanwhile, UK ETS prices decreased slightly to £41.75/tonne. In the broader energy landscape, Brent crude prices fell to $71.06/bbl, reflecting ongoing volatility in global oil markets. As the week unfolds, cooler temperatures and fluctuating supply from Europe will continue to drive price movements. With increased LNG arrivals and strong renewable performance, the UK’s energy market is positioned to meet the rising demand while maintaining balanced system conditions. Keep an eye on weather developments and LNG shipments, as they will be key drivers for both gas and power markets in the coming days.

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UK Energy Market Update – 19th August 2024 Gas Market: The UK gas market has opened today with the system 7 mcm/day short, driven by lower nominations from the Langeled pipeline, while UKCS production remains stable. Strong exports to the continent continue, incentivised by the NBP Day-Ahead discount to TTF. The NBP Day-Ahead price is up slightly, trading at 79.50 p/therm. On the curve, winter contracts remain firm, with continued focus on storage injections ahead of the winter season. Pan-European storage levels are strong, with a collective fill rate of 89.40%. Power Market: UK power prices are seeing mixed movements. The UK Day-Ahead Baseload is priced at £64.24/MWh, reflecting a slight firmness. However, renewable generation, particularly from wind, is expected to limit the need for gas-fired power this week, especially on Thursday, with forecasts showing up to 15,000 MWh/h of wind capacity. On the supply side, nuclear availability is impacted by planned outages at key sites, including Heysham and Torness, adding to the overall market tension. Oil & Coal: Brent crude is relatively stable, trading at $79.68/bbl, while ARA coal for Cal Y+1 remains elevated at $130.11/tonne, reflecting continued demand and supply-side constraints. Currency: The GBP/EUR exchange rate is currently at 1.1747, maintaining stability in the broader energy market context. Outlook: As we approach the end of August, the UK energy market remains focused on storage levels and the geopolitical risks that could impact supply. With cooling forecasts and robust wind generation expected, we might see some easing in power prices, but the gas market continues to be underpinned by storage and export dynamics.

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Fantastic to see the approval of a new electricity transmission line between Scotland and Yorkshire. Particularly since the UK's grid capacity has been a major barrier for #investors looking to put their money into UK #renewables. UKSIF's data shows almost half (44%) of energy companies have faced challenges securing a #gridconnection when investing here, with up to £115bn of additional investment into the energy sector available if this and other policy barriers are lifted. This new connectivity should help unlock investment into Scotland and the North of England and represents an important step to help the UK reach its 2030 #cleanenergy target. https://lnkd.in/eJV2AxqB

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Daily #Energy Market #Report - September 5th, 2024 - The UK energy market today continues to reflect shifting dynamics across power generation, gas supplies, and pricing. We’re currently experiencing a brief period of warm temperatures, expected to last until September 8th, before we reach an inflexion point where temperatures are forecasted to drop significantly. This anticipated drop could influence short-term NBP Forward Market prices. On the renewable front, wind generation forecasts remain weak for the next two weeks, placing upward pressure on Unconstrained Balancing Line prices. The limited contribution of wind power to the grid underscores the volatility of renewable energy supply, especially as we transition towards a more sustainable energy system. Yesterday, the Norwegian maintenance schedule saw minor changes, with a day added to the Kollsnes and Nyhamna gas processing facilities, while Aasta Hansteen and Dvalin maintenance durations were slightly reduced. These adjustments may lead to further price volatility in the near term, but no significant shifts are expected yet. In terms of pricing, NBP gas and UK electricity markets have seen notable downward movement. NBP gas day-ahead prices increased slightly by 1.06%, but the overall trend points towards a drop in forward prices, with October 2024 NBP prices falling by 3.94%. The UK electricity market also followed a similar trend, with day-ahead power prices declining 15.68% for base and 16.07% for peaks. Longer-term contracts for Q4 2024 and Q1 2025 show reductions across the board, with decreases of between 2% and 3%. The UK gas system remains long, with a surplus of 8.32 million cubic meters, reflecting lower demand versus seasonal norms. LNG imports and domestic supply continue to support the system, though any significant changes in interconnector flows or storage levels could drive fluctuations. The week ahead could bring further adjustments, particularly as we approach the inflexion point in temperature and see the impact of maintenance on gas flows. With renewables contributing less to the mix, reliance on gas and interconnector imports remains strong, but any shifts in market conditions will likely cause further price movement. As these trends continue to unfold, it's crucial to stay informed and agile. Our team at Catalyst Commercial Services Ltd is here to provide insights and support as you navigate the evolving energy landscape. #EnergyMarket #UKEnergy #CarbonTrading #NaturalGas #MarketUpdate #EnergyInsights

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6th December 2024, Daily UK #Energy Market Overview - This morning, the UK energy market faces a challenging landscape with the system opening 9 mcm/day undersupplied. #Gas prices show a slight decline, with NBP Day-Ahead settling at 114.50 p/therm. Meanwhile, UK Power Day-Ahead Base dropped significantly to £77.75/MWh, down by £15.73, reflecting bearish conditions across the board. Colder weather looms as temperatures are forecast to dip below seasonal norms from this weekend, increasing heating demand and pressure on energy systems. While #LNG send-outs remain steady, Norwegian exports are ramping up, mitigating some supply concerns despite additional planned maintenance at Sleipner and Gullfaks. UK gas demand surged to 248.77 mcm, driven by robust LDZ requirements. Wind generation is forecast to weaken next week, further tightening gas-for-#power needs. Power prices softened significantly due to strong wind generation earlier in the week and declining European gas storage levels, now at 84%, marking a 3% week-on-week drop. The geopolitical landscape adds complexity, with President Putin's decree easing payment methods for gas exports to counter sanctions against Gazprombank. Market reactions remain muted but watchful as these changes could influence European and UK energy curves further. On the global front, Brent crude is stable at $72.09/bbl, while coal prices fell to $115.54/tonne. Carbon trading saw minor dips, with EUA Dec 24 at €67.34/tonne and UK ETS Dec 24 at £36.17/tonne, reflecting subdued industrial activity. Currency movements show a slight strengthening of the pound, with GBP/EUR at 1.2077 and GBP/USD at 1.2758. This offers mild relief for import-heavy energy trades but remains sensitive to broader macroeconomic conditions. As colder weather and supply challenges converge, market participants must stay vigilant, especially with LNG arrivals scheduled to bolster supplies. The evolving dynamics of European storage, renewables output, and geopolitical influences will continue shaping the market trajectory.

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An interesting and more in depth look at Labour’s GB Energy proposals. If GB Energy is to succeed (in the long term) then supporting newer technologies like #hydrogen will be important, and it was interesting that hydrogen was the first word out of Keir Starmer’s mouth on energy during the first #debate. #energy #cmslaw #cmsplanning

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November 1st, 2024: UK energy markets opened with gas and power prices easing amid mild weather and stable Norwegian gas flows. The UK’s NBP day-ahead gas price settled at 99.43 pence per therm, slipping nearly 1.4% on the day due to steady flows from Norway at 337.8 mcm/day and a lack of fresh geopolitical developments, especially from the Middle East, which have previously spurred volatility. Maintenance at Gullfaks and St. Fergus is expected to wrap up on November 11th and November 22nd, respectively, which should maintain current flow levels into the month. In power markets, day-ahead baseload prices settled at £90.10/MWh, following the bearish sentiment in gas prices. Despite weak wind generation forecasts, the drop in gas prices provided some relief to power. Additionally, government confirmation that the UK’s Carbon Border Adjustment Mechanism (CBAM) will go into effect a year after the EU’s own CBAM implementation suggests continued alignment in carbon measures, even as the specifics are yet to fully unfold. Looking at today’s session, the UK system opened balanced, thanks to stable UK Continental Shelf receipts and Norwegian flows. However, with temperatures expected to dip early next week, demand may see slight upticks. Wind speeds are forecast to remain well below seasonal averages until mid-next week, moderating demand for gas-fired generation to meet electricity needs. LNG supply also remains strong, with two cargoes expected in the UK by November 6th and multiple shipments scheduled to Northwest Europe. France’s nuclear output continues its notable recovery, with annual production on track to reach 355 TWh. This increased supply is not only boosting France’s domestic grid stability but also providing additional export capacity to neighboring countries, offering potential relief to Europe’s winter supply dynamics. On the global front, markets are keeping an eye on a potential Azeri gas swap deal, which could help Europe offset declines as the Ukraine transit agreement nears its expiration at year-end. In carbon markets, EU Allowance (EUA) prices are at €64.58/tonne, while UK ETS prices stand at £37.89/tonne, a modest increase that reflects continued policy and market adjustments. Currency movements today see GBP/EUR at 1.1940, a slight decrease from yesterday, while GBP/USD is at 1.2898. These shifts mirror continued uncertainty in global financial markets, with energy prices remaining reactive to currency and commodity fluctuations. As the UK’s winter energy demand builds, close monitoring of market supply conditions and geopolitical impacts remains crucial.

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Effective #EnergyManagement is key to staying competitive in the evolving oil and gas landscape. By prioritizing energy efficiency and creating a culture of #ContinuousImprovement, we can achieve substantial reductions in energy expenditure and #EnvironmentalImpact. Let's lead the way in sustainable energy practices! #Innovation #SustainableEnergy

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End of Day UK #Energy Market Update – 05/09/2024 The UK energy markets saw a notable rebound today, ending a three-day losing streak across Power and Gas prices. Front-month UK Power closed at £74.25/MWh, up by 1.71%, while the front-month NBP Gas contract saw an increase of 1.79%, closing at 87.52p/therm. This uptick comes after a period of downward pressure, likely driven by the recent cooler weather forecasts and improved wind generation across Europe. Gas prices, which had been in decline, regained momentum following Russian President Vladimir Putin's comments, indicating that Russia remains willing to supply gas to Europe through Gazprom. However, with Europe's firm stance on reducing dependency on Russian gas, concerns are mounting over potential supply constraints post-New Year, as the transit agreement via Ukraine is set to expire. Further out on the curve, Q1 2025 Power prices increased by 1.95%, closing at £82.36/MWh, while Gas contracts for the same period rose by 2.04%, finishing at 94.67p/therm. Market sentiment remains cautious, with traders pricing in possible supply disruptions and colder-than-expected weather forecasts for early 2025. In the carbon markets, Dec24 EUAs slipped by 0.66%, closing at €66.56/tonne, reflecting a softening in demand expectations. In contrast, UKAs inched up by 0.57%, finishing at £42.01/tonne as the UK government continues to align its carbon policies with broader European targets. On the global commodities front, Brent crude surged by 1.68%, settling at $73.92/barrel, amid tightening supply expectations as OPEC+ maintains its output cuts. This rise in oil prices also provided some bullish sentiment to the broader energy complex. With geopolitical tensions still a key driver of volatility, and Europe on the cusp of transitioning away from Russian gas supplies, it remains essential for market participants to stay agile in navigating the evolving landscape. Our team at Catalyst Commercial Services Ltd is here to provide insights and support as you navigate the evolving energy landscape. #EnergyMarket #UKEnergy #CarbonTrading #NaturalGas #MarketUpdate #EnergyInsights

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