Reuters: UK prompt gas rises on Norway output cut

British prompt gas prices rose on Tuesday as the system was undersupplied on the back of weak liquefied natural gas (LNG) output and an unplanned outage on Norway's Kaarstoe gas processing plant gave a further incentive to buy.

British within-day gas prices rose to 62.00 pence per therm at 1038 GMT, up 0.50 pence on the previous session, while Wednesday gas prices added 0.80 pence to 61.70 pence.

The gas market was undersupplied by around 5 million cubic metres per day (mcm/d) on Tuesday as flows from the Isle of Grain and South Hook LNG terminals dropped early in the session, National Grid data showed.

Output from Norway's Kaarstoe gas processing plant, which also sends gas to continental Europe and Britain, fell by 25 mcm/d on Tuesday morning after an unplanned shutdown overnight.

The outage was planned to end by 0500 GMT on Wednesday, operator Gassco said, reassuring traders supply would only be interrupted for a short while.  MORE