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UK GAS-Falling Norwegian supply and cooler forecast lifts prices

LONDON, May 16 (Reuters) - British wholesale gas prices rose on Tuesday due to falling Norwegian deliveries and cooler weather forecasts. * British day-ahead gas price up by 0.90 pence to 40.20 pence per therm at 0900 GMT. * Within-day contract rose by 0.55 pence to 40.25 p/therm. * Gas system undersupplied by 7.3 million cubic metres (mcm) with demand forecast at 187.9 mcm and flows at 180.6 mcm/day, National Grid (LSE: NG.L - news) data showed. * Norwegian flows through the Langeled pipeline fell to 14 mcm/day from 20 mcm/day on Monday as the call on Norwegian gas from Europe increased. * "After several down days (for prices), the cooler weather and expected strike action on the Continent are supporting the nearer-term products," said Nick Campbell, risk manager at Inspired Energy (LSE: INSE.L - news) . * Workers at French state-controlled utility EDF (Paris: FR0010242511 - news) plan 24-hour strikes starting on Wednesday, following weekly rolling strikes by French gas and electricity sector workers in April. * Demand for gas-fired electricity production was expected to be around 15 mcm/day higher on Wednesday, further boosting prices. * Temperatures forecasts for Wednesday were revised more than 2 degrees Celsius lower, according to Reuters data. * Traders said rising oil prices - after top producers Saudi Arabia, Russia and Kuwait supported extending supply cuts - lent support to forward gas contracts. * "Weaker Sterling has also lent further support," Campbell said. * Q3 2017 gas contract up by 0.15 pence to 37.95 p/therm. * Winter 2017 contract up by 0.15 pence to 45.40 p/therm. * British day-ahead baseload power prices rose by 8.10 pounds to 48 pounds per megawatt hour, driven by a reduction in forecast wind and solar generation, analysts and traders said. * Day-ahead gas price at the Dutch TTF hub up by 0.12 euro to 15.60 euros per megawatt hour. * Benchmark Dec-17 EU carbon contract up by 0.04 euro to 4.43 euros per tonne. * Thomson Reuters (Dusseldorf: TOC.DU - news) analyst view: http://emea1.apps.cp.extranet.thomsonreuters.biz/cms/?pageid=united-kingdom-gas (Reporting by Oleg Vukmanovic; editing by Nina Chestney)