Gas prices dropped to minimum in Europe

In Europe spot gas prices dropped to last year’s minimum, because of warm weather and slow gas consumption from the storages. On Wednesday the National Balancing Point (NBP) – the most liquid one in Europe – sold gas at the price of $342- 345 per 1000 cub.m. 

The prices in Europe were the lowest since June 2013. During 2 months ago the price dropped by 18% ($418.4 per 1000 cub.m. on December 3, 2013). Since early February 2014 prices at NBP dropped below the quota of 2013, reported Finmarket.

The last heating season in Europe was too long and in cold March 2013 Europe had almost empty storages. The current heating season started in November with less resources, than a year ago, but because of warm weather in December and January the gas resources at the European underground gas storages exceeded last year’s volume.

At present the British storages are filled at 68.8%, while a year ago it was only 54.5%. In Europe these showings constituted 56.3% and 53.5%, respectively.

The current less intensive gas usage fron the storage will affect the demand in summer, the period of restoration of resources at the underground storages, warned the observers. But despite warm weather and price decline, Russian gas export to Europe is still high. During first three days of February Gasprom’s gas export outside of the former USSR republics is up 21% against the same period last year, reported http://angi.ru.--0--