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Prices rebounded yesterday in most European gas markets, supported mainly by the sharp drop in Norwegian flows (304 mm cm/day on average, compared to 338 mm cm/day on Monday) due to an unplanned outage at the giant Troll field. Russian flows on their side were stable, at 315 mm cm/day on average. Additional support came from the drop in feedgas volumes into US liquefaction facilities due to the severe cold snap and the strong rise in local gas prices. However, weak heating demand helped cap gains. Moreover, the drop in EUA prices (which reduced parity prices with coal for power generation) exerted downward pressure on far curve prices.
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