EU carbon prices down on weaker oil, UK gas

LONDON Jan 18 (Reuters) - European Union carbon emissions futures fell in Monday's early trade, in line with softer oil and UK natural gas prices, traders said.

The benchmark contract for EU Allowances CFI2Zc1 was down 24 cents or 1.80 percent at 13.10 euros ($18.85) a tonne at 0752 GMT. Volume was light at 336 lots.

"Carbon is softer mainly due to energy prices being a bit weaker," an emissions trader said.

EUAs hit a one-month high of 13.74 euros on Thursday, but traders said the move was not justified fundamentally and that the rally was overdone.

Prices slipped on weaker gas and power prices on Friday.

British natural gas prices for February delivery GM2NBG0 was down 1.04 percent at 33.25 pence per therm on Monday.

German Calendar 2010 baseload power BY1DE-1Y inched up 10 cents or 0.20 percent at 49.70 euros per megawatt hour.

U.S. oil CLc1 fell for the sixth session to below $78 a barrel on Monday, as poor risk appetite and renewed concerns about energy demand prompted investors to sell down their positions. [O/R]

U.N.-backed certified emissions reductions CEREZ0 were slow to trade.

Clean energy project developer Camco International (CAMIN.L) said it will focus on expanding operations in the United States in 2010. [ID:nWLB5270]

The company said it had a strong net cash balance of 28 million euros in the three month period ending Dec. 30, 2009. (Reporting by Nina Chestney; Editing by Hans Peters) ($1=.6949 Euro)