In this week’s Resonance energy market podcast Jeremy Nicholson talks to Alfa’s Dr Petra Puskarova about the continued impact of the Russia-Ukraine conflict on European energy markets.
Topics explored include:
- Oil price surges (now hovering around $125/barrel), mainly driven by EU’s decision to ban Russian imports into Europe
- Gas prices remain fairly range bound but volatility expected on thin trading volume due to bank holidays, drop on Nordstream 1, and proposed cut off of Russian gas to Holland.
- Decoupling of UK and continental gas prices (UK storage stocks high)
- Western Europe’s transition from Russian gas will take years
- 11th July – volatility expected: uncertainty around whether Russian gas flow Ukraine or Poland during the maintenance
- Power – lower demand due to holiday demand coupled with high nuclear and wind generation, pushed German SPOT to lows not seen for many months.
- Nuclear generation outages in France driving power prices higher in the short term