Prompt prices fell Thursday morning on the UK NBP gas trading hub as gas demand in Britain eased by about 30% week-on-week on mild temperatures.
Same and next-day delivery contracts were each trading at 57.00 pence/therm midday Thursday having lost 0.50 p/th from the previous session's close.
Temperatures in the UK were above seasonal norms Thursday by as much as 3 degrees Celsius, in cities such as Glasgow.
Gas demand in the UK, at 305 million cubic meters, was about 70% of last weeks level, National Grid data shows, as temperatures have risen by about 4 degrees across the country, CustomWeather showed, and prompt prices have come down from about 75.00 p/th.
The system was operating long throughout the morning but was fairly well balanced by midday GMT.
"The system opened up 13 million cubic meters long, despite only one LNG terminal, South Hook, sending gas out into the system as Langeled imports and Rough storage continue to secure supplies," an analyst said.
Also, UK exports to the Continent on the Interconnector pipeline have fallen from daily levels earlier in the week of around 20 million cu m to around 12 million cu m.
Later dated contracts heard similar movements to the prompt, shedding around half a pence each.
Gas for March delivery was trading at 56.90 p/th and Q2 12 was at 55.60 p/th.
"Curve contracts opened lower as the weaker prompt and lower oil prices weighed on contracts," the analyst said.
Summer 12 was trading midday at 55.90 p/th, Winter 12 was 59.40 p/th and Summer 13 was 61.40 p/th.
