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    European gas prices fall on strong renewables output


Wind generation has been strong in recent days.

by: Joseph Murphy

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Natural Gas & LNG News, Europe, Corporate, Market News, Infrastructure, Storage, News By Country, EU

European gas prices fall on strong renewables output

European natural gas futures were down on January 31, thanks to a surge in renewables output in recent days and stable Russian flow.

The March delivery contract at the Dutch TTF hub was down 5.2% as of 12:25 GMT, trading at €87.00 ($97)/MWh, according to ICE data. Wind generation across the continent was strong over the weekend and into January 31, reducing the need for gas. Wind farms are currently contributing 35% of power in the UK, while only 31.6% is coming from gas. In Germany, wind is providing 56% of electricity.

Meanwhile, westward Russian gas flow via the Yamal-Europe pipeline has remained stable in recent days.

Utilisation of natural gas storage facilities in the EU and the UK fell below 39% on January 31, according to Gas Infrastructure Europe (GIE). This time last year the facilities were 51.7% full.