Daily (13.01.2020): Oil prices escalated at highest levels since February on Tuesday amid Saudi cuts

13/01/2021 09:34 Daily

news

Crude oil futures advanced on Tuesday, with prices approaching pre-coronavirus levels, continuing to be supported by last week’s surprised decision by Saudi Arabia to cut production by about 1m bbl/day in February and March.

 

Hence, Brent crude rose by 92 cents, or 1.7%, to settle at $56.58 a barrel. At the same time, U.S. WTI crude gained 96 cents, or 1.8%, to end at $53.21. Both contracts finished at their highest level since February 21.

 

British near-term gas prices escalated on Tuesday on the back of persistend cold weather and weaker LNG supply as a result of higher Asian Asian spot LNG prices. As a result, NBP spot rallied by 17.5% to 79.00 p/therm.

 

Along the forward curve, the gas price for year-ahead delivery increased by 1.4% to 45.26 p/therm, tracking bullish oil and carbon markets.

 

European spot electricity prices diverged on Tuesday, with the German day-ahead power tumbling by 7.9% to 42.47 EUR/MWh amid stronger renewable generation. Meanwhile, the French equivalent power contract rocketed by 16.2% to 73.85 EUR/MWh amid cold weather.

 

Year-ahead power prices gained ground, buoyed by a strong energy complex. Consequently, the German Cal’22 power increased by 2.3% to 51.77 EUR/MWh, while the similar contract in France ended at 53.05 EUR/MWh, posting a 2.1% gain day-on-day.

 

A looming blast of colder weather across Europe and scarce supply drove the European carbon prices on Tuesday. EUAs expiring in 2021 rose modestly by 0.4% to 34.66 EUR/tonne.

Brussels opens in-depth investigation into Germany’s coal phase-out plan

03/03/2021 09:10:00

The German Bundestag sealed an agreement in June last year to compensate RWE and LEAG with €4.35 billion for closing the country’s last remaining coal plants and mining operations by 2038.

<READ MORE

Global CO2 emissions rising again after nearly 6% fall last year

03/03/2021 09:07:00

Global carbon dioxide emissions dropped by 5.8% in 2020 as the COVID-19 pandemic slowed economic activity, but they rebounded at the end of the year and are on course to rise further, the International Energy Agency said on Tuesday.

READ MORE

UK Energy Suppliers To Pay £10.4m Fine For Overcharging Customers

03/03/2021 09:04:00

Ofgem has this morning charged 18 energy suppliers, including British Gas, Shell, and Scottish Power, a combined £10.4m for overcharging their customers.

READ MORE