Belgium: Day-ahead basis turns positive ; Interconnector flows forward
The Zeebrugge Day-ahead basis moved into closer alignment with the April '11 basis on Monday, as the end of the month approached.
Day-ahead basis closed at +0.1p/th, while April '11 basis closed at +0.35p/th.
Day-ahead shippers' nominations through the UK to Belgium Interconnector pipeline totalled 14.9Mm³ at 17:00 London time, as shippers were quick to take advantage of the Zeebrugge spot's small premium to the NBP.
14.9Mm³ is the highest forward nomination through the Interconnector since 8 March 2011, although a clear picture will not emerge until Tuesday as pipeline operator IUK will continue to receive nominations until the early hours of Tuesday morning.
Zeebrugge Day-ahead basis traded flat for much of the day, but rose at the market's close to an +0.1p/th, lifting prompt contracts with it.
Traders reported some buying of gas in Zeebrugge (€0.20/MWh cheaper than the TTF on Day-ahead) and selling on PEG Nord (€0.50/MWh more expensive than Zee and €0.30/MWh more expensive than TTF on Day-ahead), which could account for the price rise.
April '11 was sold down and May '11 did not trade, according to trades received by ICIS Heren, due to wide bid/offer spreads ranging from +1.15p/th to 1.7p/th at certain points in the day.
Summer '11's price gained the least of all curve gains (0.70p/th, compared to an average gain of 1.306p/th across the curve). JSH
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