Contract prices fell Monday on the UK NBP gas trading hub as mild weather reduced demand and falling oil prices weighed on the curve.
Contracts for same and next-day delivery were trading at 58.80 pence/therm at 1200 GMT, down by 0.95 p/th and 0.40 p/th, respectively, from Friday's close.
Forecast gas demand by National Grid of 265.6 million cubic meters was around 10% below seasonal norms as mild weather across the UK reduced the gas-burn.
Temperatures were around 2-3 degrees Celsius above long-term averages and are forecast to remain mild throughout the week, CustomWeather said.
The system was fairly well balanced throughout the morning with LNG flows remaining low, a fall in imports and continuing high exports on the UK-Belgium Interconnector pipeline.
"LNG output remains at subdued levels, with only South Hook adding consistently to the system," an analyst said.
"Furthermore, Langeled imports have fallen off from recent high levels of over 70 million cu m to 56 million cu m this morning [and] Interconnector nominations have remained high at 20 million cu m."
Gas for delivery in April shed 0.80 p/th to 58.85 p/th.
Crude futures were down more than $1/b in midday European trading, under pressure from dollar gains, as the US dollar index hit its highest level since January.
AT 1210 GMT, April ICE Brent traded $1.32 lower at $124.66/bbl.
The falling prompt and oil prices weighed on the curve, sources said.
Q2 12 fell a penny to 58.60 p/th and Summer 12 was trading at 58.15 p/th, down by 0.85 p/th.
Winter shed 0.60 p/th to 73.00 p/th and Summer 13 edged 0.35 p/th lower to 64.60 p/th.
