UK Energy Market Summary to Friday 8th November 2024
Closing Prices 08.11.2024
British near-term gas prices edged down on Wednesday, with the NBP spot price declining by 0.2% to close at 3.5 p/kWh, driven by healthy Norwegian supply. The Sum-2025 contract fell by 0.9% to 3.2 p/kWh, boosted by the recent Trump presidency and Republican Congress enhancing US LNG export prospects.
Gas prices moved higher on Thursday, with the NBP spot price rising by over 1% to reach 3.5 p/kWh, driven by increased domestic demand due to colder temperatures. On the forward curve, the Sum-2025 contract climbed by nearly 3%, closing at 3.3 p/kWh amid concerns about Hurricane Rafael’s potential impact on U.S. oil and LNG facilities in the Gulf of Mexico.
At time of writing, European gas storage levels are 94% full, with the UK 62% full. European gas storage levels have remained above the 5-year average throughout 2024. Over the past week gas has accounted for 53% of the UK generation mix with wind accounting for 12%, solar 0.8% and nuclear accounting for 15%. Below summarises curve prices as at close of business on Friday.
Curve UK Gas & Electricity Markets
Other Energy Markets
Oil prices inched down on Wednesday following Donald Trump’s victory in the U.S. presidential election. Brent crude closed 0.8% lower at $74.92 per barrel, while WTI crude declined by 0.4%, ending the day at $71.69 per barrel.
European carbon prices also declined, with the EUA Dec-2024 contract dropping by 0.8% to close at 63.76 EUR/tonne, reflecting the broader bearish market sentiment.