Considered

The Northeast’s hunger for gas storage could be answered by anew high-deliverability rock cavern technology being developed inSweden. A consortium of U.S. and European companies areparticipating in a project to develop lined rock cavern (LRC)technology. LRC performance is said to be similar to that of saltcavern storage, but it can be located in areas where salt is notgeologically present. The consortium is made up of New York StateElectric & Gas Corp. (NYSEG) and the European companies Gaz deFrance and Sydkraft of Sweden.

The Northeast’s hunger for gas storage could be answered by anew high-deliverability cavern technology being developed inSweden. A consortium of U.S. and European companies areparticipating in a project to develop lined rock cavern (LRC)technology. LRC performance is said to be similar to that of saltcavern storage, but it can be located in areas where salt is notgeologically present. The consortium is made up of New York StateElectric & Gas Corp. (NYSEG) and the European companies Gaz deFrance and Sydkraft of Sweden.

The cash market began the week by posting small advances Mondayon top of what was considered abnormally strong Friday pricing fora lower-demand weekend. The new increases were small, though,rarely getting above 4 cents, and some points registered as flat.

A storage report considered bearish by most traders set thestage for softness in the cash market Thursday, then a plungingfutures screen virtually guaranteed cash declines. Sure enough,nearly every point fell between 5 and 8 cents. “We’re just tradingdown with the screen,” said a Western marketer.

The cash market shrugged off what many considered a bearishstorage withdrawal report and maintained what has become February’sstatus quo Thursday: flat pricing with mostly tight ranges. Sourceswere dismayed to admit their general expectation Wednesdayafternoon of falling prices Thursday was off the mark. “Nothingseems to be moving this market in any direction,” a marketer in theWest said.

What was widely considered a bearish storage report combinedwith falling Nymex futures prices to deal the cash market a losinghand Thursday as most delivery points lost about eight cents onaverage.

Officials of key electricity trade groups question whetherDeputy Energy Secretary Elizabeth Moler has the political cloutneeded to be considered as a serious candidate by the White Houseto replace departing Energy Secretary Federico Pena.