Business
Biden Begins $6B Program to Bail Out Distressed Nuclear Power Plants

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The Biden administration is launching a $6B program to rescue nuclear power plants at risk of closing, opening a certification and bidding process Tuesday for a civil nuclear credit program to aid financially distressed owners or operators of nuclear power reactors.
The U.S. Department of Energy said it will take applications for the first round of funding in its program until May 19, prioritizing reactors that have already announced plans to close.
The program could provide a boost to operators including Public Service Enterprise Group (PEG), Constellation Energy (CEG) and Energy Harbor (OTCPK:ENGH), according to Bloomberg.
PG&E (PCG) plans to shut its two Diablo Canyon reactors in California in 2024 and 2025.
ETFs: (NYSEARCA:XLU), (URA), (NLR)
A dozen U.S. commercial nuclear power reactors have closed in the past decade before their licenses expired, and a quarter or more of the remaining U.S. nuclear fleet of 93 reactors is at risk, according to the DoE.
Nuclear power currently provides ~20% of electricity in the U.S., or about half the nation’s carbon-free energy.
The only nuclear plant now under construction in the U.S. in Southern Co.’s (SO) Vogtle plant in Georgia; the project’s costs have ballooned over the years, and another delay was announced in February.
Original Post: seekingalpha.com
Business
Maersk, MSC to End Global Alliance in Container Shipping Shakeup
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The world’s two biggest shipping lines – A.P. M?ller-Maersk (OTCPK:AMKBY) (OTCPK:AMKAF) and Mediterranean Shipping Co. – said Wednesday they will end their 2M vessel sharing partnership in 2025, a move S&P Global Platts said will shake up the container shipping market and perhaps trigger a price war.
The decision to wind down the 2M alliance comes as shipowners are dealing with declining cargo volumes and excess vessel capacity that has pushed down freight rates to pre-COVID levels, which has shifted the balance of power back to customers of 2M and other big alliances.
In a joint statement, the chief executives of Maersk (OTCPK:AMKBY) (OTCPK:AMKAF) and MSC said much has changed since the 10-year partnership was signed in 2015, and ending the agreement “paves the way for both companies to continue to pursue their individual strategies.”
Maersk (OTCPK:AMKBY) (OTCPK:AMKAF) is pushing to “accelerate becoming an integrated provider of logistics, connecting, and simplifying our customers’ supply chains,” while MSC has built up its fleet to the point that it has overtaken Maersk in the number of ships it operates.
A.P. M?ller-Maersk (OTCPK:AMKBY) (OTCPK:AMKAF) recently named Vincent Clerc as its new CEO.
Article: seekingalpha.com
Business
U.S. Natural Gas Slides Below $3 for First Time in 19 Months
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U.S. natural gas futures fell below $3 for the first time since May 2021, trading as low as $2.992/MMBtu Wednesday before the front-month February contract (NG1:COM) settled at a new 52-week low, -5.8% to $3.067/MMBtu.
Since fears that suppliers couldn’t meet wintertime demand pushed U.S. natgas prices to a 14-year high of ~$10/MMBtu in August, U.S. and Europe have refilled their buffer inventories ahead of winter, and relatively warm temperatures in the Northern Hemisphere so far have held down demand for heating.
A longer than expected shutdown at the Freeport LNG terminal due to a fire in June has constrained gas exports and thus raised U.S. supplies, contributing to lower prices; the facility moved closer to restarting operations as the U.S. Coast Guard determined a hazard study addresses its requirements.
ETFs: (NYSEARCA:UNG), (UGAZF), (BOIL), (KOLD), (UNL), (FCG)
Gas-focused equities have fallen sharply during the past month: EQT (EQT) -8.6%, Range Resources (RRC) -5.1%, Antero Resources (AR) -14.2%, Southwestern Energy (SWN) -9.7%, Chesapeake Energy (CHK) -7.6%.
While natural gas prices may bottom soon, the U.S. Natural Gas ETF (UNG) is “likely a poor bet today due to the immense ‘contango decay’ embedded in the futures curve,” Harrison Schwartz writes in an analysis posted recently on Seeking Alpha.
Source Here: seekingalpha.com
Business
Sens. Warren, Welch Urge Moderna to Reconsider COVID-19 Shot Price Increase
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Democratic Sens. Elizabeth Warren (Mass.) and Peter Welch (Vt.) are asking Moderna (NASDAQ:MRNA) CEO Stephane Bancel to reconsider a price hike for COVID-19 vaccines once they become available through the commercial market.
Moderna (MRNA), like rival Pfizer (PFE), has said it plans to hike the price of its COVID shot to between $110 and $130 per dose, far higher than what the federal government has been paying for them.
“Moderna’s (MRNA) price hikes, aside from threatening public health, also raise questions about how Pfizer’s (PFE) similar announcement of vaccine price hikes in October 2022 may have influenced Moderna’s (MRNA) decision-making process regarding its vaccine prices,” the senators wrote.
The senators also noted that Moderna’s (MRNA) vaccine was developed through federally funded research.
The duo also ask Bancel several questions mostly dealing with revenue and profit expected this year from the vaccine.
COVID shots will become available through the commercial market — rather than for free due to federal government purchases — after the public health emergency for the virus is declared over.
Earlier in January, Sen. Bernie Sanders (I-Vt.) also sent a letter to Bancel.
Original Article: seekingalpha.com
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