Prospex sees Spanish power prices soar sixfold
London-listed Prospex Energy said March 8 that a surge in Spanish electricity prices had stimulated revenues from its gas-fired El Romeral power project in the south of the country.
Prospex said prices were six times higher than in last March, when it bought into the 8.1-MW capacity plant. It currently has a 49.9% working stake in El Romeral through its subsidiary Tarba Energia. The project comprises the main power plant and a 25-km gas pipeline connecting three live production wells : El Cievro-1, Santa Clara-1 and Sevilla-1.
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The war in Ukraine has caused a sharp uptick in gas prices, which has compounded the squeeze on Spanish energy markets. In November 2021, before the invasion of Ukraine, Spanish electricity prices were already 46.7% higher year-on-year, according to Eurostat data cited by Caixa Bank.
Prospex said the El Romeral plant would be switched to continuous operations for six days per week from March 4 to March 15, following the completion of automation work in December 2021. It also expects to secure permits for additional infill wells at the gas field later this year.
Prospex's Tarba Energia unit generated a €548,099 ($598,000) income from power generation from January 1 to February 27.
"It is extremely satisfying that Prospex, through its ownership of Tarba, is now able to increase its electricity output at a time when security of energy supply is so important to us all," said Prospex CEO Mark Routh.