Underinvesting in the energy sector comes with hidden risks. From oil wells running dry to power grid inefficiencies, neglecting reinvestment can lead to declining revenues and lost opportunities. Unlike assets like gold, which don't generate value, I prefer investments that produce goods and services while holding competitive advantages.
What’s your take on energy sector investments? Let’s discuss.
Think about an oil company for instance, that stops its exploration and production initiatives. Overtime, it's existing wells may deplete leading to a reduced output. Similarly, if a utility company stops investing in maintaining its power plants and transmission lines, it may experience inefficiencies driving customers away and reducing revenue. I also do not like to invest in gold because it is a non performing asset. I'd like to invest in things that produce goods and services over time while maintaining a monopoly. Whereas the price of gold is impacted heavily by inflation, deflation, interest rates, currency strength, geopolitical uncertainties and market speculations.
With Europe's carbon policies putting pressure on its downstream sector, the timeline for many businesses to maintain a strong commercial performance is tightening.
Join Alan Gelder, VP of Chemicals & Oil Markets, at ERTC 2024 on 12th November as he explores:
• How can refiners profitably adapt to Europe’s energy transition?
• What are the competitive advantages of integrated sites?
• The economics of HVO/SAF production
• The success factors for eFuel production
Find out more: https://okt.to/gcG0hj
With Europe's carbon policies putting pressure on its downstream sector, the timeline for many businesses to maintain a strong commercial performance is tightening.
Join Alan Gelder, VP of Chemicals & Oil Markets, at ERTC 2024 on 12th November as he explores:
• How can refiners profitably adapt to Europe’s energy transition?
• What are the competitive advantages of integrated sites?
• The economics of HVO/SAF production
• The success factors for eFuel production
Find out more: https://okt.to/ezmk6D
Regardless of whether #investing in a diversified Canadian portfolio or sector-specific #energy fund, we believe Canadian energy companies are an attractive investment over the long-term given the favourable demand outlook and changing supply dynamics. https://lnkd.in/gQrS5q2u
With Europe's carbon policies putting pressure on its downstream sector, the timeline for many businesses to maintain a strong commercial performance is tightening.
Join Alan Gelder, VP of Chemicals & Oil Markets, at ERTC 2024 on 12th November as he explores:
• How can refiners profitably adapt to Europe’s energy transition?
• What are the competitive advantages of integrated sites?
• The economics of HVO/SAF production
• The success factors for eFuel production
Find out more: https://okt.to/2LyGAx
DAILY MARKET REPORT - 24/07/2024
A small further discount seen across the board in yesterdays session.
The market continues to hold station around this level, as it has done for many weeks now, with small movements in either direction over a period of time.
No change in outlook for the time being – so this trend may continue for now.
Yesterday saw the TTF Front Month contract settle at €31.62 (from €31.84) and the NBP Front Month contract at 73.21p (from 73.96p).
Visund remains on unplanned outage this morning and we see a flow level at 330mcm (321) Russian nominations showing Velke Kapusany at 40.6mcm (39.6) and Sudzha at 42.4mcm (42.4). Nord Stream remains unavailable. EU gas storage showing at 83.15% full as per AGSI+. LNG vessels due to arrive in UK next couple of weeks is 1.
This morning we see the Front Month TTF contract at €32, NO CHANGE to the previous settlement.
A quick check on some key contracts (rounded to nearest whole):
Curve TTF Front Month €32, Front Season €37 (vs €32 and €37)
Curve NBP Front Month 73p, Front Season 93p (vs 74p and 94p)
UK Gas NBP spot 70p (from 74p)
UK Power DA £74 (from £72)
UK power prices show the UK Front Month Baseload contract at £66 (£66) and Front Season at £83 (£83).
In other areas of the market Brent Oil is at $81 ($82) and EUAs are at €66 (€65). Henry Hub is at $2.19 ($2.25) and JKM is at $12.01 ($12.10) with TTF Equiv of $10.07 ($10.16).
Numbers in brackets show the previous reports value.
We ask that you ‘like’ and use the ‘repost’ function rather than copy from our updates – thank you. More information about Auxilione can be found on our website at www.auxilione.com.
#energy#gas#power#electricity#powergeneration#energystorage#lng#energyindustry#powerdistribution#markets#naturalgas#oil#oilgas#renewableenergy#oilandgas#oilandgasindustry#renewables#sustainability#solar
With Europe's carbon policies putting pressure on its downstream sector, the timeline for many businesses to maintain a strong commercial performance is tightening.
Join Alan Gelder, VP of Chemicals & Oil Markets, at ERTC 2024 on 12th November as he explores:
• How can refiners profitably adapt to Europe’s energy transition?
• What are the competitive advantages of integrated sites?
• The economics of HVO/SAF production
• The success factors for eFuel production
Find out more: https://okt.to/9e6qag
With Europe's carbon policies putting pressure on its downstream sector, the timeline for many businesses to maintain a strong commercial performance is tightening.
Join Alan Gelder, VP of Chemicals & Oil Markets, at ERTC 2024 on 12th November as he explores:
• How can refiners profitably adapt to Europe’s energy transition?
• What are the competitive advantages of integrated sites?
• The economics of HVO/SAF production
• The success factors for eFuel production
Find out more: https://okt.to/8NkIrg
DAILY MARKET REPORT - 16/05/2024
A flat session yesterday, which follows a similar one seen on Monday, as the market has no clear driver to head in either direction.
EU gas stocks look healthy at two-thirds full. At the current injection rate it would reach the mandated levels of at least 90% long before the November deadline.
Yesterday saw the TTF Front Month contract settle at €29.73 (from €29.67) and the NBP Front Month contract at 72.02p (from 71.96p).
No unplanned outage this morning and we see a flow level at 322mcm (323). Russian nominations showing Velke Kapusany at 40.5mcm (40.2) and Sudzha at 42.4mcm (42.4). Nord Stream remains unavailable. EU gas storage showing at 65.80% full as per AGSI+. LNG vessels due to arrive in UK next couple of weeks is 2.
This morning we see the Front Month TTF contract at €29, DOWN €1 to the previous settlement.
A quick check on some key contracts (rounded to nearest whole):
Curve TTF Front Month €29, Front Season €36 (vs €30 and €36)
Curve NBP Front Month 72p, Front Season 93p (vs 72p and 93p)
UK Gas NBP spot 72p (from 75p)
UK Power DA £74 (from £71)
UK power prices show the UK Front Month Baseload contract at £65 (£65) and Front Season at £82 (£82).
In other areas of the market Brent Oil is at $83 ($82) and EUAs are at €69 (€70). Henry Hub is at $2.42 ($2.34) and JKM is at $10.80 ($10.45) with TTF Equiv of $9.48 ($9.41).
Numbers in brackets show the previous reports value.
We ask that you ‘like’ and use the ‘repost’ function rather than copy from our updates – thank you. More information about Auxilione can be found on our website at www.auxilione.com.
#energy#gas#power#electricity#powergeneration#energystorage#lng#energyindustry#powerdistribution#markets#naturalgas#oil#oilgas#renewableenergy#oilandgas#oilandgasindustry#renewables#sustainability#solar
