AUS
NZ
UK
CA
USA
IND
Highlights
- Wholesale gas prices have started going down as European leaders plan to tackle the spiralling energy crisis.
- On Thursday, the wholesale gas price for delivery in the UK next week dropped by 9% to 350p.
- As of now, gas storage facilities in Europe are nearly 80% full on average.
While European leaders are stepping up with their plans to tackle the ongoing energy crisis, wholesale gas prices have started decreasing. Reportedly, the European Commission has verified that it was working on emergency actions to deal with the crisis. At the same time, the German government claimed that it was ready to deal with the crisis this winter. According to a recent report by Kalkine Media®, the current UK energy crisis is likely to have a bigger impact than the 2008 crash.
On Thursday, the wholesale gas price for delivery in the UK next week dropped by 9% to 350p. Meanwhile, there was a 6% decline in the month-ahead price to 431p. Following the announcement of the European Commission regarding the work being done for an energy package, along with assessing the structural transformation of the energy market, the day-ahead price tumbled from 447p a therm earlier this week.
©2022 Kalkine Media®
To deal with the swiftly spiralling energy crisis, the European Commission is allegedly exploring ways to control the rising energy demand and implement caps on energy prices to keep bills in check. Currently, gas storage facilities in Europe are nearly 80% full on average, close to the target of the EU for nations to reach 80% full by 1 November.
On a separate note, the Office for National Statistics (ONS) said on Thursday that British gas prices have surged by 30% from 28 August, the greatest level witnessed so far this year. In the current scenario, investors can keep an eye on energy stocks offering decent returns. Kalkine Media® explores the following energy stocks that UK investors may consider.
Borders and Southern Petroleum plc (LON:BOR)
The market cap of the British oil and gas exploring business, Borders & Southern Petroleum plc, stands at £27.34m as of 2 September. BOR shares were trading at GBX 4.65 at around 8:00 AM (GMT+1) as the market opened on Friday. The AIM-listed company’s EPS (earning per share) currently stands at 0. Borders & Southern Petroleum investors are enjoying huge returns of 570.74% and 443.29% on a YTD (year-to-date) and one-year basis, respectively.
IGas Energy plc (LON: IGAS)
The market cap of the leading independent oil and gas explorer and producer, IGas Energy plc, stands at £109.51m as of 2 September. IGAS shares plunged by 1.84% at around 8:00 AM (GMT+1) as the market opened on Friday while trading at GBX 85.40. The AIM-listed company’s EPS currently stands at -0.43. However, IGas Energy investors are enjoying massive returns of 574.16% and 464.96% on a YTD and one-year basis, respectively.
Egdon Resources plc (LON:EDR)
The market of the independently functioning oil and gas exploring group, Egdon Resources plc, stands at £38.34m as of 2 September. EDR shares surged by 0.69% at around 8:00 AM (GMT+1) as the market opened on Friday while trading at GBX 7.35. The AIM-listed company’s EPS currently stands at -0.01. Nevertheless, Egdon Resources investors enjoy immense returns of 382.04% and 482.74% on a YTD and one-year basis, respectively.
