Cool

The U.S. Winter Outlook for December 2004 through February 2005 continues to call for warmer-than-normal conditions across the entire West and Alaska and cooler-than-normal conditions in the Southeast and Mid Atlantic, according to an update issued Thursday by the National Oceanic and Atmospheric Administration (NOAA). Elsewhere, including the key gas consuming markets in the Midcontinent/Midwest and New England, there are equal chances of above, below and normal temperatures.

The U.S. Winter Outlook for December 2004 through February 2005 continues to call for warmer-than-normal conditions across the entire West and Alaska and cooler-than-normal conditions in the Southeast and Mid Atlantic, according to an update issued Thursday by the National Oceanic and Atmospheric Administration (NOAA). Elsewhere, including the key gas consuming markets in the Midcontinent/Midwest and New England, there are equal chances of above, below and normal temperatures.

Earnings from subsidiaries and ownership in its master limited partnership sent earnings at Kinder Morgan Inc. (KMI) up 17% during the third quarter compared to 3Q2003. The Houston-based company topped Wall Street estimates by 2 cents/share, with net income of $111.9 million (90 cents/share), compared with $95.6 million (77 cents) in 3Q2003.

Cool to cold temperatures were due over the weekend in most areas, but the cash market did not find that enough incentive to sustain Thursday’s sharp gains into Friday. Instead, prices fell at almost all points between a little less than a nickel and nearly half a dollar (the sole gainer was Transco Zone 5’s rise of about 4 cents).

The blaze at Duke Energy’s Moss Bluff underground salt cavern storage facility in Liberty County, TX, was continuing into its sixth day Tuesday, but the size and intensity of the fire has decreased significantly, according to company officials.

Prices kept moving higher in cash trading Wednesday, the official first day of autumn. Despite mild to cool weather prevailing in most areas, the market rode the momentum of a day-earlier screen spike of nearly 36 cents and Gulf of Mexico production shortfalls that remain slow in being eliminated.

Citing forecasts for much of its market area indicating “extremely cool conditions” starting Thursday and continuing through the weekend, Transco said that effective with Thursday’s gas day it is not allowing excess storage injections under Rate Schedules GSS or WSS and will not allow any Park quantities or Loan payback. Also, effective Friday it will not allow due-pipeline (receipt make-up) nominations. The pipeline added that if it experiences a significant decrease in operational flexibility, it may limit the scheduling tolerance at pooling points to 1% or take additional actions.

Backing up for the most part what Punxsutawney Phil confirmed earlier this month, WSI Corp. is calling for cooler than normal temperatures during the early spring to be followed up later in the season with warmer than normal weather across most of the nation.

Weather Services International (WSI) is calling for a cool October east of the Rockies but warmer than normal temperatures on average in the Northeastern United States through December. Cooler-than-normal temperatures are expected on average through December in the Plains, Great Lakes, Rockies, and Pacific Northwest.