UK GAS-Day-ahead prices tick up on undersupply, curve softens on oil

* Gas market 2.6 mcm/d undersupplied

* Outage at North Morecambe gas terminal cuts flows to zero

LONDON, July 19 (Reuters) - Gas prices for day-ahead delivery edged higher on Tuesday as demand was expected to slightly outpace supply, while curve prices softened on the back of weaker oil.

Gas for day-ahead delivery was at 33.75 pence per therm at 1015 GMT, up 0.15 from Monday's close.

With (Other OTC: WWTH - news) supply flows at 173.9 million cubic metres/ day (mcm) and demand expected to be 176.5 mcm/day, Britain's gas system was slightly undersupplied, National Grid (LSE: NG.L - news) data showed.

An unplanned outage at Centrica (LSE: CNA.L - news) 's North Morecambe gas terminal has cut gas flows to zero from 7.7 mcm/day and the plant is scheduled to return to operation on Wednesday.

Further out on the curve, the Q1 2017 contract slipped by 0.25 p/therm to 47.20 p/therm, while the Winter 16 contract fell by 0.25 p/therm to 45.25 p/therm.

"Contracts further out on the curve are trading largely level with Monday's close, though further downwards moves in oil markets may begin to weigh on longer dated contracts as the day continues," Marcel Boonaert, head of trading and portfolio at Wingas UK, said.

Brent crude prices extended Monday's losses when the contract fell more than 1 percent as concerns over over-supply continued to dominate the market.

In Europe's carbon market, the front-year EU allowance price was down 0.07 euro at 4.78 euros per tonne.

Carbon prices have fallen almost 20 percent since Britain voted to leave the European Union on June 23 on fears the country, which is a major buyer of EU carbon allowances, could also leave the bloc's Emission Trading System.

In the Netherlands, the day-ahead price at the TTF hub was up 0.1 euro at 14.25 euros per megawatt-hour. (Reporting by Susanna Twidale; editing by Nina Chestney)