In February Natural Gas Price on the Exchange Was Lower Than Long Term Contract Price
UAB GET Baltic informs that the participants of the Exchange could have bought the natural gas with the price ranging from 1302 LTL/thou. m3 to 1349 LTL/thou. m3 on the Exchange in February. In February, the lowest price at which the participants offered to sell the natural gas on the Exchange was 1302 LTL/ thou. m3, submitted on 8 February. The highest offered selling price was 1349 LTL/thou. m3, submitted on 27 February. The difference between the highest and the lowest offered selling price was nearly 50 LTL. The decline in the offered natural gas selling price was captured on 5 February, while the offered selling price fell from 1315 LTL/thou. m3 to 1303 LTL/thou. m3. The offered selling price was rather stable during the period of 5 February and 10 February. Significant increase in price was seen on 11 February, when the offered natural gas selling price had risen by 18 LTL to 1321 LTL/thou. m3. The price kept growing until 25 February. There was a slight change in price on February 26, as the offered selling price dropped from 1337 to 1328 LTL/thou. m3. The last day of February the offered selling price on the Exchange was 1347 LTL/thou. m3.
According to the information published by AB Lietuvos Dujos, in February the natural gas price for which the gas supplier was selling gas for commercial consumers was 1330 LTL/thou. m3.
The chart below shows the statistics indicating the lowest offered selling price on the Exchange and the selling price published by AB Lietuvos Dujos in February.
During the period from 19 February to 28 February the natural gas purchase offers were submitted. The highest purchase price was 1233 LTL/thou. m3 submitted on 22 February, 91 LTL less than the offered selling price on that day. Throughout the period the offered purchase price fluctuated from 1 to 2 LTL and significantly differed from the offered selling price.
Despite the reasonable natural gas price, no deals have been fulfilled on the Natural Gas Exchange of UAB GET Baltic in February.
“The participants are still monitoring and analysing the situation on the Exchange. They are trying to get acquainted with the new tool for the natural gas trading. It is glad that the commissions to buy and to sell the natural gas there are constantly submitted on the Exchange. We have to admit, that even though the natural gas price is rather reasonable, the participants are not very keen on using this tool for the natural gas trading yet. One of the factors limiting the participants to operate on the Exchange is that, according to the legal acts of the Republic of Lithuania, to sell natural gas on the exchange can only those participants of the exchange who have the licence of gas supply. It would be great advantage for the natural gas market participants if this limitation could be eliminated and would therefore provide a positive impact for the activeness of the trading on the Exchange. Also means, which are needed to balance the flow of natural gas on the transmission system, would be implemented at the second part of this year and the gas Exchange would be the helpful tool for the natural gas market participants to execute this function.” – said CEO of UAB GET Baltic Haroldas Nausėda.