National Balancing Point (NBP) – Definition and Pronunciation
What is NBP?
The NBP (National Balancing Point) is a fictional (notional, or virtual) point at which all gas that has paid the entry charge to enter the UK National Transmission System is believed to be located.
Examples of NBP
In Europe, a main index is NBP or National Balancing Point, a virtual trading location for the sale and purchase and exchange of UK natural gas.
From “Analyzing the Dynamics of LNG Pricing: Regional Markets, Indexation, and Recent Challenges”.
In Europe, National Balancing Point (NBP) is the primary price referencing point and in Asia, Japanese Crude Cocktail (JCC) is the primary price referencing point.
From “Liquefied Natural Gas Commercial Considerations”.
Shorter-term contracts with flexible volumes at prices indexed to the regional gas benchmark prices (e. g., Henry Hub in the United States; NBP in the United Kingdom), not oil prices, and with no specified floor price are favored in those markets (Wood and Mokhatab, 2006a; Wood et al.,2008b).
From “Liquefied Natural Gas Projects, calculation of the cost of gas production”.
Pronunciation of NBP
