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Mark Henwood
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Mark Henwood is the director of New Energy View (www.newenergyview.com) and CEO of Henwood Associates, Inc. an owner, operator, engineer, and constructor of hydroelectric and other power facilities. Previously Mark built Henwood Energy into a market leader serving the global power industry... More
My company:
Henwood Associates, Inc.
My blog:
New Energy View
  • Shale Gas Flaps Its Black Wings 0 comments
    Apr 25, 2012 1:18 AM

    The records keep falling … the oil/gas price ratio hit another all time high on the April 19th at 9.29 (Cushing closed at $102.58/bbl and Henry gas closed at $1.90/mmBtu). The gas price is the equivalent of oil at $11.02/bbl. The history of oil/gas prices in the US is shown below from www.newenergyview.com

    (click to enlarge)

    Meanwhile, low gas prices are driving the price paid to older renewable producers in California to near record low levels. In PG&E the April price for "Short Run Avoided Cost" is 2.7 cents/kWh. IMO prices this low will cause some renewable facilities to shut in, unable to recover operating costs, much less insurance or property taxes. It's ironic for a state that is imposing a 33% RPS standard and implementing a cap and trade system to have a pricing mechanism that will force some production to, effectively, be flared.

    Themes: renewable electricity, shale gas
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  • TIPS real yields are negative out to about 7 years. This has only happened on 10 days since 1/1/2003, 9 of which are the last nine days.
    Oct 8, 2010
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bonds, fixed income, income investing bonds, renewable electricity, shale gas, TIPS
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