Langeled pipeline shutdown causes UK gas prices to rise

British wholesale natural gas and power prices rose this morning as reduced capacity tightened the system in the short term and the threat of a Russian gas supply cut to Europe over the Ukraine crisis pushed up winter prices.

Prices rose due to the imminent one-day shutdown of the Norwegian Langeled pipeline, which will stop sending gas to Britain tomorrow. Prices were also affected by low winds, which will reduce renewable output.

Norway's Langeled pipeline, which has the capacity to send 70 million m³/d of gas to Britain, is scheduled to shut for one-day maintenance on Tuesday.

Additionally, analysts said the increasing likelihood of a Russian gas supply disruption this winter over the Ukraine crisis was pushing winter gas prices up.

Edited from source by Elizabeth Corner

Source: Yahoo Finance

Read the article online at: https://www.worldpipelines.com/business-news/01092014/langeled-pipeline-shutdown-causes-uk-gas-prices-to-rise/