Skip to main content

NEI's Energy Markets Report - November 26 - November 30, 2007

Here's a summary of what went on in the energy markets last week:
Electricity peak prices soared with price increases ranging from $10-21/MWh. A cold snap throughout the country last week helped send prices back to the average norms from the depressed prices two weeks ago (Platts, see pages 1 and 3).

Gas prices at the Henry Hub increased from $6.96/MMBtu to $7.18/MMBtu. Colder temperatures were also considered the reason for the price increases at the Henry hub last week (EIA, see pages 1 and 3).

Estimated nuclear plant availability remained at 92 percent last week. One reactor finished a refueling outage, one reactor began refueling and three reactors were down for maintenance (see pages 2 and 4).

Uranium spot prices remained unchanged for the third week in a row at $93/lb U3O8 according to TradeTech and UxConsulting (see pages 1 and 3).

Crude oil prices rose more than $4/barrel to $97.93/barrel. Looking ahead into 2008, both crude prices and refinery constraints should ease somewhat according to EIA. Today’s very high crude prices are expected to fall back to average close to $80 per barrel in 2008 (see pages 1 and 3).
For the report click here. It is also located on NEI's Financial Center webpage.

Comments

Popular posts from this blog

Activists' Claims Distort Facts about Advanced Reactor Design

Below is from our rapid response team . Yesterday, regional anti-nuclear organizations asked federal nuclear energy regulators to launch an investigation into what it claims are “newly identified flaws” in Westinghouse’s advanced reactor design, the AP1000. During a teleconference releasing a report on the subject, participants urged the Nuclear Regulatory Commission to suspend license reviews of proposed AP1000 reactors. In its news release, even the groups making these allegations provide conflicting information on its findings. In one instance, the groups cite “dozens of corrosion holes” at reactor vessels and in another says that eight holes have been documented. In all cases, there is another containment mechanism that would provide a barrier to radiation release. Below, we examine why these claims are unwarranted and why the AP1000 design certification process should continue as designated by the NRC. Myth: In the AP1000 reactor design, the gap between the shield bu...

Fluor Invests in NuScale

You know, it’s kind of sad that no one is willing to invest in nuclear energy anymore. Wait, what? NuScale Power celebrated the news of its company-saving $30 million investment from Fluor Corp. Thursday morning with a press conference in Washington, D.C. Fluor is a design, engineering and construction company involved with some 20 plants in the 70s and 80s, but it has not held interest in a nuclear energy company until now. Fluor, which has deep roots in the nuclear industry, is betting big on small-scale nuclear energy with its NuScale investment. "It's become a serious contender in the last decade or so," John Hopkins, [Fluor’s group president in charge of new ventures], said. And that brings us to NuScale, which had run into some dark days – maybe not as dark as, say, Solyndra, but dire enough : Earlier this year, the Securities Exchange Commission filed an action against NuScale's lead investor, The Michael Kenwood Group. The firm "misap...

Nuclear Utility Moves Up in Credit Ratings, Bank is "Comfortable with Nuclear Strategy"

Some positive signs that nuclear utilities can continue to receive positive ratings even while they finance new nuclear plants for the first time in decades: Wells Fargo upgrades SCANA to Outperform from Market Perform Wells analyst says, "YTD, SCG shares have underperformed the Regulated Electrics (total return +2% vs. +9%). Shares trade at 11.3X our 10E EPS, a modest discount to the peer group median of 11.8X. We view the valuation as attractive given a comparatively constructive regulatory environment and potential for above-average long-term EPS growth prospects ... Comfortable with Nuclear Strategy. SCG plans to participate in the development of two regulated nuclear units at a cost of $6.3B, raising legitimate concerns regarding financing and construction. We have carefully considered the risks and are comfortable with SCG’s strategy based on a highly constructive political & regulatory environment, manageable financing needs stretched out over 10 years, strong partners...