08 Apr Energy Costs Won’t Fall Quickly Despite Iran-US Ceasefire, says Fidelity Energy CEO
Following the announcement of a ceasefire between the US, Israel and Iran, John Haw, CEO of Fidelity Energy, has shared his view on what this means for energy prices — and why businesses shouldn’t expect costs to fall in line with the headlines. The key point is that even if tensions ease, pricing doesn’t reset immediately. Risk is still being built into forward contracts, meaning businesses renewing in the coming months could continue to face elevated costs.
“Even if a ceasefire holds, businesses shouldn’t assume prices will quickly return to pre-conflict levels. Energy markets don’t simply reset when tensions ease. They price in risk over time, and that’s reflected in forward contracts. While recent developments may reduce some of the ‘fear premium’, there are still additional costs built in to account for ongoing uncertainty and underlying pressures. From potential supply disruption to longer-term impacts like damaged infrastructure, these will continue to influence pricing. It’s worth noting that the pricing we are seeing in the markets today is still well below that of the last energy crisis.” “We’re already seeing that in practice. One large gas user we work with was quoted around £191,000 per year at the end of January, and that’s now closer to £235,000 for the same contract window.” “For many businesses, the impact of events like this isn’t just immediate, it carries forward into pricing for months afterward. That creates a lag between what’s happening in the headlines and what businesses actually pay, making it important to stay engaged with the market and consider options at the right time.”. – John Haw, CEO of Fidelity Energy
More Energy, Oil & Gas Stories !!! �News straight from the source �
OilandGasPress Energy Newsbites and Analysis Roundup | Compiled by: OGP Staff, Submit your Releases or contact us now!, victor@oilandgaspress.com
OilandGasPress.com is a website that provides news, updates, and information related to the oil and gas industry. It covers a wide range of topics, including exploration, production, refining, transportation, distribution, and automotive market trends within the global energy sector. Visitors to the site can find articles, press releases, reports, and other resources relevant to professionals and enthusiasts interested in the energy, oil and gas industry.
Disclaimer: News articles reported on OilAndGasPress are a reflection of what is published in the media. OilAndGasPress is not in a position to verify the accuracy of daily news articles. The materials provided are for informational and educational purposes only and are not intended to provide tax, legal, or investment advice.
Information posted is accurate at the time of posting, but may be superseded by subsequent press releases
“Stay informed with Oilandgaspress.com—your independent source for global energy, oil, gas, EV, and automotive industry news and analysis.”
Follow us: on Twitter | Instagram
Your Daily Source for Oil, Gas, Renewables & EV Market Insights :
latest oil and gas updates
Sorry, the comment form is closed at this time.