Despite

Despite moderating temperatures pervading much of the countryyesterday, gas futures were able to inch higher and take back asmall portion of recent losses as traders positioned themselvesahead of the release of fresh weather and storage news. March andApril contracts closed up 4.5 cents a piece at $2.54 and $2.507,respectively, while the 12-month strip grew 3.3 cents to $2.614.

Despite weaker cash prices, mixed weather forecasts and a loweropen, natural gas futures rumbled higher last Friday as traderscovered shorts in a technical frenzy that could pave the way formore gains this week. The prompt March contract finished up 8.3cents at $2.742 after posting a $2.62 low near the open.

Merger turmoil and tight margins are putting the screws to quitea few energy marketers, but Frost & Sullivan still sees plentyof room for the industry to grow. Several of the top-20 marketersof 1998 have exited the market, while other companies have beenspurred to acquire assets and start online trading, according to arecent study by the group.

Despite the arrival of another severe winter storm — this onein the Midcontinent — the majority of spot points leaned to thedownside Thursday.

Despite large increases in both operating income and income fromcontinuing operations, Columbia Energy Group’s 1999 bottom lineregressed from 1998, as a hostile takeover bid from NiSourcecombined with severe losses caused by Columbia’s marketingoperations to undermine the company’s overall performance.

In a new study forecasting gas supply and demand over the next15 years, GRI said demand will reach 32.7 Tcf by 2015, but theindustry will have to adapt to changing consumption patterns inorder to take advantage. The results of the report, titled “GRIBaseline Projection of U.S. Energy Supply and Demand to 2015, 2000Edition,” were released Tuesday at the National Press Club.

Despite continued above-normal temperatures across much of theU.S., natural gas futures rumbled higher yesterday as local tradersbid up prices in an attempt to set off buy stops positioned abovethe market. However, by Monday afternoon it was apparent they wereonly partially successful, and after notching a $2.255 high theFebruary contract eased lower to close at $2.216, a 4.3-centadvance for the session. Estimated volume was low with 48,189contracts changing hands.

Oneok said last week that it remained steadfast in its desire tomerge with Southwest Gas, even in the face of a recommendation bythe Arizona Corporation Commission (ACC) staff to delay thetransaction. The Oklahoma-based company said the ACC staff decisionwas swayed by a “spurned suitor” and although no names arementioned, Southern Union Co. is the likeliest candidate for thespoiler role. Southern Union is bound by court order not to discussthe merger.

Despite consensus that the latest storage and weather news has beenbearish, the cash market did little more than march in place Thursdaywith only slight gains dominating at the great majority of points. Asmidgen of softness showed up in the Southwest basins, and theRockies, largely because of El Paso having lifted a low-linepack OFOlate Wednesday afternoon (see Daily GPI, Jan. 6).