Energy Market Update - 01 March 2024

Yesterday's energy market saw a general decline, influenced by cooler April forecasts that may sustain higher demand as winter concludes.

The TTF and NBP front month contracts experienced drops, amid supply challenges including an unplanned outage at Troll and consistent Russian gas nominations, with EU gas storage at 62.78%.

The TTF Front Month contract remained steady at €25 this morning, reflecting a cautious market outlook amidst these supply constraints.

In the broader energy sector, slight decreases in Brent Oil, EUAs, Henry Hub, and JKM prices were noted, suggesting a global market adjustment. The UK's energy system is currently short, with decreased LNG send-out and increased demand expected due to cooler temperatures.

Despite these challenges, the imminent arrival of four LNG cargoes, two expected today, offers some relief to the supply tightness as the market navigates through the ongoing supply-demand fluctuations.