Continuation

On a day when Nymex traders set the record bar for crude oil futures substantially higher, a continuation of frigid weather in some areas and the strongly supportive 31.7-cent advance by March natural gas futures the day before caused a majority of points to continue their ascent Wednesday.

Retreats by three New England citygates were the only exceptions to advancing spot prices Friday. The continuation of frigid weather into the weekend in several market areas or the impending return of it after a brief period of moderation, along with the spike of nearly 40 cents by March futures the day before, were chiefly responsible for the cash market strength.

A continuation of warmer-than-normal Atlantic Ocean temperature anomalies into the summer and fall and the likelihood of a favorable or neutral wind shear environment on the heels of the current La Nina event will bring an active 2008 Atlantic hurricane season, WSI Corp. forecasters said Wednesday.

A continuation of warmer-than-normal Atlantic Ocean temperature anomalies into the summer and fall and the likelihood of a favorable or neutral wind shear environment on the heels of the current La Nina event will bring an active 2008 Atlantic hurricane season, WSI Corp. forecasters said Wednesday.

A couple of flat points and one in the Midcontinent that rose about a nickel constituted the only exceptions to a continuation of falling cash prices in Wednesday’s launch of the March aftermarket. Moderate to cool weather forecasts for many areas and prior-day futures weakness were responsible for the overriding softness.

Northwest lifted its remaining Overrun Entitlement (see Daily GPI, Jan. 18) Saturday. The pipeline thanked customers for securing more Canadian supply and encouraged the continuation of this trend in order to avoid OFOs.

The continuation of very hot temperatures in much of North America, with an assist from Wednesday’s futures advance of nearly 31 cents, enabled a rebound at nearly all points Thursday. Several flat to lower points were scattered among gains that ranged from a couple of pennies to about 30 cents.

With cooling demand starting to wane in parts of the West and North, Friday’s continuation of price hikes at most points were based mostly on two previous days of screen strength, although power generation load remained fairly substantial overall. Reflecting the moderate weakening of weather fundamentals and the drop in industrial demand associated with a weekend, Friday’s upticks were smaller than Thursday’s, and a few Midcontinent and Rockies points were flat.

As a continuation of initiatives begun during NorthWestern Corp.’s recent Chapter 11 bankruptcy process, local government-backed pubic power advocates in Montana and South Dakota decided late last month to join forces in ongoing efforts to structure a public-sector purchase of the company, whose principal electric and natural gas utility operations are concentrated in those two states. The company had no comment since there is no formal proposal in play, a spokesperson said Tuesday.