UK gas and power prices plunged in the near-term and along the curve this week, as temperatures warmed and talks towards a halt to fighting in Ukraine continued.
Since news of a 28-point peace plan for Ukraine broke last week, bearish sentiment has grown. This is despite the failure of previous attempts to find a peaceful resolution to the conflict. In a recent interview, Ukraine’s now-former top negotiator Andriy Yermak told The Atlantic that “not a single sane person today would sign a document to give up territory,” a major prerequisite for Russia ending its war. Piped Russian gas flows directly into Europe halted entirely on New Years’ Day 2025 and have not resumed.
While w/c 17th November saw a prolonged cold snap, the UK has enjoyed milder temperatures this week, with Thursday 27th and Friday 28th seeing UK temperatures well above seasonal normal levels. The latest forecast runs indicate a sharp dip below normal over the weekend, with Sunday 30th expected to see a trough of 3°C before a rebound into early December. The latest two-week forecasts indicate a warmer-than-usual start to December, adding further mitigation to upside price risk.
EU gas storage fullness continues to see strong withdrawals, with fullness hitting 77% by 26th November, the lowest level relative to time of year since 2021.
Systemically, strong LNG availability remains the primary driver behind the longer-term bearish movement in markets, with November 2025 on course to set a new record for highest volume of delivered LNG globally. This week also saw Cheniere Energy, owner of Corpus Christi LNG, announce that the expansion project at the Texas LNG liquefaction facility is 92% complete.
Flagship Energy’s Mike Stafford Energy Markets Update – 28th November 2025 appeared first on Energy Live News.