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Archive for the ‘Price’ Category

Spot iron ore $US110 a tonne compared with the Australian contract price of $US52 a tonne; crude oil continues to trade above $US80 a barrel: analysts predict contract price rises up to 40pc for iron ore in 2008-09

Posted by gasweek on 11 October, 2007

Spot iron ore [Indian spot at port India, free on board] was trading at more than $US110 a tonne, compared with the Australian contract price of $US52 a tonne, according to Stephen Wyatt in Shanghai, writing in The Australian Financial Review, (8/10/2007, p. 23).

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Posted in oil, Price, US, Volume 2603 | Leave a Comment »

Indicators suggest a move in the spot price of uranium to $US90 a pound by early 2008; up to $US120 a pound by late 2008

Posted by gasweek on 11 October, 2007

John Wilson, managing director, Resource Capital Research, Warwick Grigor, managing director, Far East Capital, a Sydney-based private investment bank specialising in the resources sector, and Michael Angwin, executive director, Australian Uranium Association, answered questions about the price of uranium, reported The Australian Financial Review (10/10/2007, p. 34).

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Posted in Fuel, Price, Volume 2603 | Leave a Comment »

November oil delivery at $US83.17 a barrel: sliding US dollar draws investors to commodities as alternative investments

Posted by gasweek on 10 October, 2007

Crude oil traded near $US83 a barrel, after rising the most in four months as the sliding US dollar drew investors to commodities as alternative investments. “There are investors moving into physical assets to try and protect themselves against the weakening dollar,” said Tom Hartmann, commodity broker at Altavest Worldwide Trading. “Heating oil supplies may start to become a concern, especially with the low utilisation rates [reported by refiners],” reported The Australian Financial Review, 29/9/2007, p. 47

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Posted in Finance, oil, Price, Volume 2603 | Leave a Comment »

Why Brisbane gas prices are low: Wood Mackenzie explains

Posted by gasweek on 9 October, 2007

A report prepared for the Owen Inquiry by Wood Mackenzie Wood explained why gas prices in NSW and South Australia were higher than the gas prices in Melbourne and Brisbane. Mackenzie’s gas price outlook was based on an assumption that rational economic investment decisions would be made based on cost and price.

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Posted in Gas, NSW, Owen Review, Petrol, Price, Queensland, SA, Victoria, Volume 2603 | Leave a Comment »

Oil price: Goldman Sachs JBWere predicts multi-year, three-phase, forecast “super-spike” band from $US 105 a barrel to $US 135 a barrel

Posted by gasweek on 3 October, 2007

Goldman Sachs JBWere said that recent rises in the oil price were the second phase of a multi-year, three-phase “super-spike” era, underpinned by the struggle of oil suppliers to catch up with growth in demand, reported The Australian Financial Review, (24/9/2007, p. 25).

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Posted in Australia, oil, Price, US, Volume 2602 | Leave a Comment »

Tues 18 Sept: October oil rises to $US81.24, a trading record; natural gas jumps to $US6.65 per 100 cubic feet

Posted by gasweek on 3 October, 2007

October oil rose as high as $US81.24 on Tuesday 18 September, a trading record, reported The Sydney Morning Herald (19/9/2007, p.24).

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Posted in natural gas, Price, Volume 2602 | Leave a Comment »

Victoria gas price and demand, 3 October 2007

Posted by gasweek on 3 October, 2007

gasvencorp3oct07.JPG

Posted in Gas, Price, Volume 2602 | Leave a Comment »

Difference between cost of crude oil and the value of its products rises to $US10.74 a barrel

Posted by gasweek on 2 October, 2007

According to Stephen Wisenthal, Caltex Australia, the country’s biggest oil refiner and marketer, will spend $1 billion in the next three years to drive performance at its plants, as industry margins remain at historic highs reported The Australian Financial Review (25/8/2007, p. 12).

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Posted in oil, Price | Leave a Comment »

21 September: Crude oil rallies through $US84 a barrel for the first time in New York; Traders – and Iran – expect $US100 a barrel oil

Posted by gasweek on 26 September, 2007

Crude oil rallied through $US84 a barrel for the first time in New York on Thursday night when the October futures contract expired. Read the rest of this entry »

Posted in International, Iran, oil, Peak oil, Price, Volume 2601 | Leave a Comment »

SP AusNet, Envestra related-company contracts not acceptable for regulated cost as inter-company billing not tested by tender

Posted by gasweek on 26 September, 2007

In the Gas Access Arrangement Review 2008-2012, The Victorian Essential Services Commission, Draft Decision, 28 August 2007 explained why the Commission may not be able to accept a contract payment as evidence of the prudent and efficient costs of providing services as SP AusNet and Envestra had achieved significant reductions in expenditure in 2005 which continued into 2006. Read the rest of this entry »

Posted in Distribution, Price, Regulation, Victoria, Volume 2601 | Leave a Comment »

Hydro Tasmania: 1205GWh of inputs at an average price of $26 over the period since last April, and 422 GWh at an average price of $102/MW on export

Posted by gasweek on 26 September, 2007

Dr David Crean, Chair, Hydro Tasmania, and Vince Hawkesworth chief executive officer, Hydro Tasmania explained in March “we did 205 gigawatt hours of inputs at an average price of $26 over the period since last April, and 422 gigawatt hours at an average price of $102 per megawatt on export. Read the rest of this entry »

Posted in Price, Tasmania, Volume 2601 | Leave a Comment »

Draft decision by ESC to cut amount Victorian gas suppliers can charge for distribution of natural gas: 10 per cent cut on distribution

Posted by gasweek on 26 September, 2007

A draft decision by the Essential Services Commission (ESC), to cut the amount gas suppliers charge for the distribution of natural gas would reduce average distribution charges by more than 10 per cent, will put some downward pressure on gas bills. The cost of distributing gas represents around 40 per cent of a customer’s gas bill. Read the rest of this entry »

Posted in natural gas, Price, Victoria, Volume 2601 | Leave a Comment »

19 September: Tapis rose $US1.18 a barrel to a record $US83.28 in trading, but with $A up – relative to $US – Australian prices should fall

Posted by gasweek on 26 September, 2007

International crude prices surged following the decision by the US Federal Reserve to cut the Federal funds rate by 50 basis points in a move to stimulate the US economy; but Australian price may fall as the $A rises and the $US falls. According to Nigel Wilson, writing in The Australian (20/9/2007, p. 20), Tapis — the benchmark against which most Australian crude oil exports are set — rose $US1.18 a barrel to a record $US83.38 in trading on 19 September. This compares to a record quote on electronic trading on the New York Mercantile Ex­change for West Texas Inter­mediate of $US82.33, after it reached an after-hours peak of $US82.38 a barrel, the highest since Nymex began quoting oil futures in 1983. Brent crude, which is the benchmark for most of the world’s traded oil, fell 1.28 per cent to $US78.24 after reaching $US78.38 a barrel on London’s ICE futures exchange.

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Posted in Price, Volume 2520 | Leave a Comment »

Phone call that cost British Airways all of £270 million ($643 million); criminal inquiries to come: Departments could by themselves co-ordinate the setting of fuel surcharges

Posted by gasweek on 26 September, 2007

On 9 August 2004, the airline’s then head of communications, Iain Burns, contacted his opposite numbers at Virgin Atlantic and said British Airwaves was minded to increase the levy it put on tickets to cover the rising costs of oil – its fuel surcharge, reported The Australian Financial Review (3/8/2007, p. 55).

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Posted in Price, Regulation, UK, Volume 2520 | Leave a Comment »

$10 per week to fuel scooter, compared with an adult weekly zone 1 Metcard at $27.60

Posted by gasweek on 20 September, 2007

Motor scooter sales are soaring, with Victorian Automobile Chamber of Commerce figures showing a 40 per cent rise in sales in the year to June compared with the same time last year reported The Age (18/7/2007, p. 3).

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Posted in Petrol, Price, Victoria, Volume 2520 | Leave a Comment »

Aus petrol prices at mercy of Singapore wholesale market, not Malaysian Tapis; no industry collusion, claims Institute of Petroleum

Posted by gasweek on 20 September, 2007

The oil industry’s peak body, the Australian Institute of Petroleum, claimed that Australian wholesale petrol prices were at the mercy of the Singapore wholesale market, not the Malaysian Tapis, reported The Sydney Morning Herald (4/9/2007, p.5).

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Posted in Australia, Petrol, Price, Volume 2520 | Leave a Comment »

Rivals attempt to create benchmark futures contracts to trade Middle East crude oil but lack of interest means little competition for Brent and West Texas Intermediate

Posted by gasweek on 18 September, 2007

Two rival attempts to create a benchmark futures contracts to trade Middle East crude oil, but trading volumes in the two contracts, launched three months ago, evaporated in August and traders said they were now unlikely to recover significantly after the holiday period, reported The Australian (6/9/2007, p.28).

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Posted in Markets, Middle East, Oman, Price, UAE, Volume 2520 | Leave a Comment »

Iraqi parliament yet to pass legislation on US oil revenue sharing that gives global oil companies control over Iraq’s oil reserves

Posted by gasweek on 18 September, 2007

Iraqi oil exports were down to less than half the $55 billion that they were worth in 1980 said Senator Lyn Allison (Victoria—Leader of the Australian Democrats). “The invasion has created large numbers of Shia and Sunni jihadists that probably did not need any assistance from Iran”.

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Posted in Iraq, Middle East, oil, Price, US, Volume 2520 | Leave a Comment »

NEM zone with lowest gas cost is northern NSW at $2.38/GJ; only other zone below $3.00/GJ is southwest Qld, says NEMMCO report

Posted by gasweek on 18 September, 2007

The delivered gas prices projected to be available for gas-fired base/intermediate load plant in each of the 17 NEM zones were detailed in ‘Fuel resource, new entry and generation costs in the NEM’, a report to NEMMCO by ACIL Tasman (27/3/2007).

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Posted in 2P, CGGT, Coal Seam Methane, CSG, CSM, natural gas, Pipelines, Price, Queensland, Volume 2520 | Leave a Comment »

Origin plans 1,000MW CSG-fired power station at Spring Gully, Qld: gas cost $0.80/GJ

Posted by gasweek on 18 September, 2007

According to Origin Energy’s website, Origin gained the Queensland Government Coordinator General’s recommendation to develop a nominal 1,000MW coal seam gas-fired power station at Spring Gully, 80km north of Roma in central Queensland, said ‘Fuel resource, new entry and generation costs in the NEM’, a report to NEMMCO by ACIL Tasman (27/3/2007).

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Posted in Coal Seam Methane, CSG, CSM, natural gas, Price, Volume 2520 | Leave a Comment »

Origin plans 1,000MW CCGT plant at Mortlake, Vic: gas cost at $3.23/GJ

Posted by gasweek on 18 September, 2007

Origin Energy was proposing to construct up to 1,000MW gas powered base/intermediate load plant at Mortlake in Western Victoria, according to ‘Fuel resource, new entry and generation costs in the NEM’, a report to NEMMCO by ACIL Tasman (27/3/2007).

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Posted in CGGT, Generation, Pipelines, Price, Victoria, Volume 2520 | Leave a Comment »

Agflation: Grain prices to rattle beef, dairy, pork, eggs and chicken: “disaster unprecedented in Australian history” predicts Horticulture Coun­cil chief

Posted by gasweek on 18 September, 2007

It’s called agflation and it’s coming very soon, propelled by climate change and drought. Grain prices have hit record levels, and those prices will ram­ify through the feed chain —beef, dairy, pork, eggs and chicken — and reach consumers. Australian Horticulture Coun­cil chief executive Kris Newton says the severe cutback in irriga­tion water could result in price rises, as seen with bananas after Cyclone Larry, reported Asa Wahlquist in The Australian, (15/9/2007, p.33).

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Posted in Ethanol, Liquids, natural gas, Policy, Price | Leave a Comment »

Victoria’s three main gas distribution businesses, Multinet, Envestra and SP AusNet subject to Draft Decision from January 2008

Posted by gasweek on 17 September, 2007

A Draft Decision, which will be finalised in November, would apply from January 2008 to Victoria’s three main gas distribution businesses, Multinet, Envestra and SP AusNet, according to a media release by the Victorian Minister for Energy and Resources.

Regulator determines balance: The Gas Access Arrangements Review occured every five years, when gas distributors made submissions to the regulator about their expected revenues, the release said. The regulator then determined average distribution charges that fairly balanced consumer and industry needs, and maintained returns that allow further capital investment.

Drought affects industry: The Minister stressed that the energy industry continued to be hit by the current drought, which had pushed up the wholesale costs of gas and electricity. He said demand for gas increased because gas-fired electricity generation was substituting for reduced hydro and coal-fired electricity generation, due to water shortages caused by drought. Gas was an effective but more expensive form of electricity generation, the Minister said.

Reference: Media release from the Minister for Energy & Resources, Victoria, 28 August 2007. Contact: Dan Ward. Phone: (03) 9651 5799. Mobile: 0407 138 680. Website:
http://www.vic.gov.au

Erisk Net, 28/8/2007

Posted in Distribution, natural gas, Policy, Price, Regulation, Retail, Victoria, Volume 2520 | Leave a Comment »

NSW gas is now at $3 to $4 per gigajoule and gas ex-WA terminals, $8 to $9 per gigajoule

Posted by gasweek on 17 September, 2007

NSW gas is now at $3 to $4 per gigajoule and gas ex-WA terminals is $8 to $9 per gigajoule said Ken Baxter, former secretary of the Department of Premier & Cabinet in Victoria, and now, non-executive director of the Hydro Electricity Corp of Tasmania. In an opinion-piece in The Australian Financial Review, (15/9/2007, p. 63) Baxter wrote; “Paul Keating demonstrated with privatisation of the Commonwealth Bank and Qantas that iconic institutions could be privately owned and prosper without massive government subventions. NSW’s electricity sector is not iconic. Governments’ choices should be to provide capital and recurrent funds for its core functions”.

NSW pipeliners want higher price: Baxter argued “No new investment will be made in gas pipelines if NSW prices remain at the current levels”.

Blame China for NSW gas price rise: “If Chinese demand for energy continues to expand, NSW energy consumers will face the prospect that energy prices could double between now and 2012, regardless of who owns the generators and retailers.”

The Australian Financial Review, 15/9/2007, p. 63

Posted in NSW, Price, Volume 2520, WA | Leave a Comment »