UK gas prices remained high Tuesday morning -- about 30% higher than where they began the month -- with a freezing spring drawing hard on gas supplies but an LNG delivery provided some relief, one gas broker said.
The day-ahead contract was valued at 99.00 pence/therm at 1200 GMT, down by 5.00 p/th from Monday's close while the within-day contract was unchanged at 98.00 p/th.
"I think people are a bit more comfortable with LNG en route," the broker said.
The UK received the Q-Max Zarga LNG vessel from Qatar on Monday and the Q-Flex Tembek tanker is scheduled to arrive on Friday, Milford Haven port data showed.
Shipping data also indicated another delivery is expected from Trinidad.
The vessel is a BG carrier heading for Milford Haven port and is expected to arrive Sunday or Monday, Platts unit Bentek Energy said.
Demand remained well above norms Tuesday -- by 102 million cubic meters with National Grid forecasting demand at 373 million cu m -- but the system was well supplied.
"Imports once again are playing the majority role in the gas system with Langeled flowing at over 71 million cu m/day and Vesterled flowing at 41 million cu m," a market analyst said.
"Bacton BBL is flowing at near full capacity this morning importing over 43 million cu m/d with the Interconnector flowing at 58 million cu m owing to the price differential between the UK and the continent."
However, the UK continues to withdraw from Rough and medium-range storage facilities to meet the heightened demand with around 10% of stocks left remaining, Gas Infrastructure Europe showed.
Gas for April delivery, just five days from expiry, pushed closer to the spot prices, gaining 1.10 p/th at 75.50 p/th.
The bullish impetus continued along the curve with Q2 and Summer 13 each rising by 0.65 p/th to 70.00 and 68.30 p/th.
Winter 13 was valued at 73.95 p/th, having gained 0.45 p/th, and Summer 14 rose by 0.25 p/th to 65.75 p/th.
