[Special Stock] GSE, Ukraine's Preemptive Attack on Russian Forces... Soaring Oil and Natural Gas Prices

[Asia Economy Reporter Park Hyungsoo] GS E&C is soaring. It appears that the news of the Ukrainian military launching mortar and grenade attacks on four areas of the Luhansk Republic controlled by pro-Russian rebels at around 2:30 a.m. local time on the 17th has influenced the stock price.

At 1:10 p.m. on the 17th, GS E&C was trading at 4,200 won, up 16.92% from the previous day.

On the same day, Russia's Sputnik News reported the Ukrainian attack, citing the Joint Control and Coordination Center (JCCC). Immediately after the news was released, the KOSDAQ index also plunged more than 1%.

On the 16th (local time), natural gas March futures prices on the New York Mercantile Exchange (NYMEX) closed at $4.72 per MMBtu (the amount of heat required to raise the temperature of one million pounds of water by one degree Fahrenheit), up 9.54% from the previous day.

As concerns over the Ukraine-Russia war grow, international oil prices continue to fluctuate daily. Among experts, there are predictions that prices could reach $100 per barrel, while the state-run Korea Energy Economics Institute forecasts that prices could rise as high as $150 per barrel.

Lee Sang-yeol, head of the Future Strategy Research Team at the Korea Energy Economics Institute, said, "To stabilize domestic energy supply and demand and minimize the impact on the domestic economy, the reduction of fuel tax and the suspension of LNG tariff quotas, which are set to expire at the end of April, should be extended," adding, "Since a significant portion of domestic LNG imports are under long-term contracts linked to oil prices, price increases are inevitable during periods of high oil prices."