CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 84% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

Harland & Wolff shares up as gas project gets green light

By David Burrows

08:29, 13 October 2021

Harland & Wolff shipyard. Photo: Shutterstock
Harland & Wolff has been given the go-ahead to build a gas storage project. Photo: Shutterstock

The share price of Harland & Wolff rose sharply in early morning trading after its subsidiary Islandmagee Energy was given the green light to proceed with a gas storage project off the coast of Northern Ireland.

In mid-morning trading the Harland & Wolff share price was up by more than 25% to 22.25p.

Islandmagee Energy has been awarded a Marine Construction Licence, to proceed towards construction. Islandmagee Energy’s gas storage project will initially unlock seven much-needed gas storage caverns.

Once fully operational, the gas caverns created in Permian salt beds beneath the sea bed will hold around 500 million cubic metres of natural gas and provide security of supply during peak demand for up to 14 days for Northern Ireland.

UK supply issues

The UK has one of Europe’s lowest gas storage capacities at just 1% of its annual demand in storage, leaving the UK much less resilient to supply issues than other European countries, which hold as much as 20-30% of annual demand in storage.

Silver

23.64 Price
-1.100% 1D Chg, %
Long position overnight fee -0.0185%
Short position overnight fee 0.0103%
Overnight fee time 21:00 (UTC)
Spread 0.032

Oil - Crude

71.98 Price
+2.450% 1D Chg, %
Long position overnight fee -0.0201%
Short position overnight fee -0.0018%
Overnight fee time 21:00 (UTC)
Spread 0.04

Oil - Brent

76.25 Price
+2.560% 1D Chg, %
Long position overnight fee -0.0094%
Short position overnight fee -0.0125%
Overnight fee time 21:00 (UTC)
Spread 0.04

Natural Gas

2.21 Price
+1.050% 1D Chg, %
Long position overnight fee -0.1406%
Short position overnight fee 0.1187%
Overnight fee time 21:00 (UTC)
Spread 0.005

Once fully developed, the Islandmagee gas storage project will hold over 25% of the UK’s storage capacity.

Commenting on the green light for the project John Wood, Group CEO of Harland & Wolff, said: “This is good news for consumers and businesses in the UK who are currently experiencing distressing hikes in energy prices and fears of potential blackouts, as gas and power grids face peak demand stresses during the winter months.

“With the current energy supply crisis, everyone now understands just how important gas storage is to secure supply and protect against extreme volatility in gas and power prices the UK.”

Read more: UK readies state loans for firms amid soaring gas prices

Related topics

Rate this article

Capital Com is an execution-only service provider. The material provided on this website is for information purposes only and should not be understood as an investment advice. Any opinion that may be provided on this page does not constitute a recommendation by Capital Com or its agents. We do not make any representations or warranty on the accuracy or completeness of the information that is provided on this page. If you rely on the information on this page then you do so entirely on your own risk.

Still looking for a broker you can trust?

Join the 535.000+ traders worldwide that chose to trade with Capital.com

1. Create & verify your account 2. Make your first deposit 3. You’re all set. Start trading