LONDON, March 30 Prompt British wholesale gas
prices edged higher on Thursday morning in a slightly
undersupplied system but are likely to come under pressure later
in the day, traders said.
* British day-ahead gas price up by 0.10 pence to
39.60 pence per therm at 0807 GMT.
* Within-day contract up by 0.35 pence to 39.85
* System undersupplied by 3 million cubic meters (mcm), with
demand forecast at 219.7 mcm and flows at 216.7 mcm/day,
National Grid data shows.
* Traders said other market fundamentals are bearish and that
this could lead prices to drop later in the day, despite the
* "The system is short today but wind is strong which has
restricted gas demand for power burn. We expect storage and/or
LNG (liquefied natural gas) to cover the shortfall," said Wayne
Bryan, analyst at consultancy Alfa Energy.
* Shell said an offshore outage, cutting output at Britain's
Bacton Seal gas terminal, had ended and that flows were ramping
up throughout the day.
* Britain's Met Offices forecast temperatures could reach as
high as 21-22 degrees Celsius in the southeast of the country.
* Peak wind power output forecast at 6 gigawatts (GW) for
Thursday, edging up to 6.1 GW on Friday, National Grid data
* Four LNG tankers are due to arrive in Britain over the next
two weeks, adding to supplies.
* April gas contract <TRGBNBPMJ7 > down 0.30 pence to 40.00
* Summer 2017 contract down by 0.25 pence to 39.85
* Day-ahead gas price at the Dutch TTF hub up by
0.23 euro to 15.23 euros per megawatt hour.
* Benchmark Dec-17 EU carbon contract down by 0.05
euro to 4.71 euros per tonne.
* Thomson Reuters analyst view: here
(Reporting by Susanna Twidale; editing by Nina Chestney)