CERA: UK winter natural gas prices likely lower than 2005

UK natural gas prices are likely to be lower than the levels experienced last winter despite declining production, uncertain import capacities, and limited storage, Cambridge Energy Research Associates said.“A fear of shortages, equipment failures, or other unforeseen events and a concern about the quality of supply and demand information are holding the forward price for winter natural gas prices higher than the fundamentals of supply and demand should support,” said Simon Blakey, CERA senior director for European Energy.His comments came in a report entitled, “A Close-Run Thing: Winter 2006-07 in the UK Gas Market.” Others have suggested the UK might need to impo...

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