ALLAN Davis may be regarded as a veteran in the cycling world, but he proved he still has plenty of power in his 'old' legs.

The 32-year-old Bundaberg-based member of the Australian Orica GreenEDGE team was pipped on the line after a bunch sprint by German John Degenkolb in the second stage of the Tour of Spain.

Britain's Ben Swift (Team Sky), the pre-stage favourite, had to settle for third place at the end of the 181.5km stage from Pamplona to Viana.

The victory earned 23-year-old Degenkolb, who is riding for Argentina's Team Argos-Shimano, the race's first green jersey as leader in the points classification.

Spaniard Jonathan Castroviejo of Team Movistar kept the overall leader's red jersey after winning the opening 16.5km team time-trial.

"More chances to come," Davis tweeted after the race.

Stage three is 155km through the mountains, a stage Spaniard Alberto Contador is expected to make his mark.

Contador is back in action after serving a ban for doping which forced him out for the Tour de France and the Olympic Games this year.