Daily (05.12.2018): NBP spot price dropped by 3.3% on Tuesday due to warmer weather and oversupply

05/12/2018 11:34 Daily


Oil prices gained further momentum on Tuesday, on expectations for supply shortages, a subject to be discussed at the meeting between the OPEC and Russia in Vienna on the 6th of December.

Brent crude price traded 0.6% higher at $62.08 a barrel. At the same time, the cut in Canadian production in the efforts to help OPEC limit oversupply also boosted prices. WTI crude surged by 0.6% to $53.25 a barrel.


On Tuesday, European spot power prices diverged. The German day-ahead electricity price hiked by 16.9% to 59.21 euros/MWh, due to forecasts for lower temperatures and a decrease in wind generation. Meanwhile, French power prices for Wednesday delivery dropped by 1.2% to 59.63 euros/MWh, on expectations for weaker consumption.


Further along the curve, electricity prices fell, tracking bearish gas markets. The German year-ahead power contract lost 1.3% to 52.27 EUR/MWh, while the French equivalent contract ended 1% down at 57.89 EUR/MWh.


Most of the gas contracts were bearish on Tuesday because of increased flows from Norway and the arrival of one LNG vessel during the week. The Q1 2019 delivery contract was 2.5% lower at 66.58 p/therm. Moreover, weaker demand for gas because of warmer weather forecasts put more pressure on the day-ahead contract price. Consequently, NBP spot price slumped by 3.3% to 64 p/therm.


EUAs continued their upward trend on Tuesday, after a strong session amid cautious optimism. The contract expiring in 2020 closed 0.6% higher at 21.64 euros a tonne.

Aquila secures financing for 147.6 MW of Swedish wind

05/12/2018 10:12:00

German lender HSH Nordbank and the Netherlands’ Cooperatieve Rabobank have provided project debt for Aquila Capital's 147.6-MW Thor wind farm in Sweden.


Maersk Drilling to provide rigs for Seapulse’s 12-well drilling program

05/12/2018 09:38:00

Danish offshore driller Maersk Drilling and Seapulse have signed a master alliance agreement under which Maersk Drilling will provide fully integrated services for a global offshore oil & gas exploration drilling program of 12 wells.


Norway's Equinor to start talks with Tanzania over LNG project

05/12/2018 09:33:00

Norway’s Equinor is ready to start talks with Tanzania on developing a liquefied natural gas (LNG) project based on a deepwater offshore discovery, the company said on Tuesday.