Covering

With 2Q2010 earnings results now in the rearview mirror, energy analysts covering the domestic exploration and production (E&P) sector paused to review what they saw in the earnings reports and what they heard in the conference calls. What they concluded isn’t necessarily a pretty picture for the second half of this year.

With 2Q2010 earnings results now in the rearview mirror, energy analysts covering the domestic exploration and production (E&P) sector paused to review what they saw in the earnings reports and what they heard in the conference calls. What they concluded isn’t necessarily a pretty picture for the second half of this year.

April natural gas futures scored a modest gain Friday as traders noted covering of earlier short positions countered by light selling by producers. At the end of the day April futures had risen 4.6 cents to $4.813 and May added 4.8 cents to $4.879. April crude oil gained $1.49 to $79.66/bbl.

April natural gas futures scored a modest gain Friday as traders noted covering of earlier short positions countered by light selling by producers. At the end of the day April futures had risen 4.6 cents to $4.813 and May added 4.8 cents to $4.879. April crude oil gained $1.49 to $79.66/bbl.

Natural gas futures slipped lower for the third straight session Monday as the bullish triumvirate — hurricanes, inflation and short-covering — was no match for the continued and undeniable reality of a bearish supply picture. The September contract closed at $3.641, down 3.3 cents for the session and well off the $4.045 high notched just a week ago.

The Idaho Public Utilities Commission (PUC) has authorized Boise, ID-based Intermountain Gas to raise its surcharge covering its gas costs for the first time in two years. Effective Wednesday, Intermountain’s overall revenues increased $54.3 million.

January natural gas futures rose Wednesday as traders looked for short-covering needed for year-end bookkeeping to keep prices firm in the near term. Longer-term traders, however, suggest that with confirmation of a mild latter half of December, traders currently undecided could enter the market vigorously on the short side. At the close of trading the January contract rose 3.8 cents to $7.179 and the February contract added 2.1 cents to $7.299.

Bills covering liquefied natural gas (LNG), bans on incandescent light bulbs and solar water heating are buried in committees in the California legislature as it moves toward its final week before scheduled adjournment Sept. 14. Only a proposal on customer-produced renewable power generation (SB 451) appeared on Thursday to have any chance of passage, according to a veteran energy industry lobbyist in Sacramento.

Kodiak Energy Inc. said Tuesday it has nearly completed its $5 million, 84 square-kilometer (52 square-mile) seismic program covering its Little Chicago Prospect located in the Mackenzie River block of the Northwest Territories. More importantly, the Calgary-based oil and gas company said the prospect could contain significantly more reserves than first expected.