Analyst

BT Alex. Brown analyst Adam Sieminski said he expects U.S. gasprices to average $2.10/MMBtu this year, which is up 15 cents fromhis previous forecast of $1.95/MMBtu, because of rising demand,declining wellhead deliverability and the falling storage surpluscompared to last year. Sieminski said the tightness in marketfundamentals will peak this winter and carry strong prices throughnext year. He raised his forecast for prices in 2000 to $2.40 froma previous estimate of $2.20.

BT Alex. Brown analyst Adam Sieminski said he expects U.S. gasprices to average $2.10/MMBtu this year, which is up 15 cents fromhis previous forecast of $1.95/MMBtu, because of rising demand,declining wellhead deliverability and the falling storage surpluscompared to last year. Sieminski said the tightness in marketfundamentals will peak this winter and carry strong prices throughnext year. He raised his forecast for prices in 2000 to $2.40 froma previous estimate of $2.20.

The only thing John Olson, senior energy analyst for SandersMorris and Mundy, needed last week following his speech at aproducers’ conference on gas supply and demand at the Canadianembassy in Washington, D.C., was a producer to volunteer to step upon stage and be slapped around.

The only thing John Olson, energy analyst for Sanders Morris andMundy, needed yesterday following his speech at a producers’conference on gas supply and demand at the Canadian embassy inWashington, D.C., was a producer to volunteer to step up on stageand be slapped around.

Anyone working for a gas company today won’t be in a few yearsif a prediction of BT Alex Brown Managing Director Edward TirelloJr. comes true. “On convergence, I believe that the electriccompanies will buy up all of the gas companies over the next fiveyears, and that will be the end of it.”

Anyone working for a gas company today won’t be in a few yearsif a prediction of BT Alex Brown Managing Director Edward TirelloJr. comes true. “On convergence, I believe that the electriccompanies will buy up all of the gas companies over the next fiveyears, and that will be the end of it.”

The June Nymex contract spiraled 8.0 cents lower to $2.130 onWednesday, thanks to what an analyst said was traders unloadinglong positions ahead of the latest AGA storage report. That report,which came in at 78 Bcf, was slightly above the expected range of50-75 Bcf, and nearly double the 46 Bcf report from last year.

Non-regulated utility marketing affiliates may become a thing ofthe past, not as a result of forced divestiture but of voluntaryseparation, according to Hagler Bailly Consulting’s Ken Malloy.