Braced

Although several eastern points managed to keep rising Friday, a solid majority of the market was softer as the Houston area braced for what was expected to be a direct strike by Hurricane Ike. Offshore production outages rose by small amounts, but low demand based on generally moderate to cool weather negated the cumulative supply losses to some extent. The weekend decline of industrial load added to the overall bearish mood.

Prices were up strongly again at most points Friday as nearly all of the East braced for a weekend in which peak temperatures would reach about 90 degrees or higher. The cash market also continued to have strong prior-day futures support from the 14-cent advance by the July natural gas contract on Thursday.

Field contractors are braced for a long and deep slump in Canadian natural gas drilling, blaming a perfect storm of glutted markets, unfavorable currency exchange rates and Alberta’s overhaul of government royalties.

Field contractors are braced for a long and deep slump in Canadian natural gas drilling, blaming a perfect storm of glutted markets, unfavorable currency exchange rates and Alberta’s overhaul of government royalties.

Prices soared Monday at all points in the East and most of them in the West as much of the U.S. braced for the first major cold snap of the fall season. However, excess gas supplies and limited options on placing them in the market resulted in large retreats in the Rockies.

Arctic natural gas boosters are braced for disappointments as prices, politics and regulatory complications overtake projects — especially in Canada.

Arctic natural gas boosters are braced for disappointments as prices, politics and regulatory complications overtake projects — especially in Canada.

Traders braced for what promised to be extra-cold weather developing in most of the East over the weekend by sending prices higher at all points Friday. As often happens, Northeast citygates led all advances, which ranged from a dime to more than $1.30. The smallest increases were concentrated in the West, where relatively moderate conditions will prevail in most of the region outside the Pacific Northwest until about midweek.

Futures market observers and participants braced for extreme price volatility last week in preparation for the new weekly storage survey by the Energy Information Administration (EIA), but what they got was an uncharacteristically quiet reaction from the futures market on Thursday when EIA reported a 39 Bcf weekly injection and 1,594 Bcf of working gas in storage. Prices chopped sideways amid equal parts local trader selling and commercial buying before June finished the day at $3.719, down 2.7 cents.