Unseasonably warm weather has continued into February bringing prices down significantly. The week averaged $31.52/MWh, a 14% decrease week over week. High thermal and wind availability is expected through the rest of the month. Forwards remain steady.
Gas prices also decreased this week to average $1.77/GJ. Forwards are relatively flat, although the storage deficit year over year is narrowing with the warmer weather this month. The spread at the beginning of the month was 68Bcf, down to 52Bcf as of yesterday.
Premier Jason Kenney has been travelling to discuss and promote trade and infrastructure. He has also vocalized his support and the importance of the Teck mine project. The Federal government has until the end of the month to make a decision – but the cabinet could delay the ruling. Although the project is associated with an increase in GHG emissions, Alberta would remain under the oilsands cap put it place by the NDP and approved by Ottawa.