Physical natural gas prices Wednesday for Thursday delivery fell an average of 8 cents nationally as double-digit, power-driven declines in the East and Northeast prompted declines in next-day gas that at some points exceeded $1.00. On the West Coast, however, prices made small advances as the independent system operator predicted high next-day power loads. At the close of trading the expiring July contract had added 6.0 cents to $3.707 and August rose 6.7 cents to $3.737. August crude oil gained 18 cents to $95.50/bbl.
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Gas for delivery over the weekend and Monday rose on average 4 cents Friday. Double-digit declines at some Northeast points were easily overcome by broad regional strength, and only a handful of locations showed losses.
Rosetta Resources Inc. said it achieved double-digit growth in production and proved reserves while it “significantly reduced” well costs during 2012. The company said it replaced 472% of production from all sources at a reserve replacement cost of $10.03/boe.
With few exceptions, all points scored at least double-digit gains Monday with some points putting in dollar-plus moves as cold weather sliced into the West over the weekend and was forecast to march eastward. On average gains were 28 cents overall, with the volatile Northeast points scoring the most gains. At the close February natural gas futures had added 4.6 cents to $3.373 and March was higher by 4.2 cents to $3.378. February crude oil gained 58 cents to $94.14/bbl.
Physical natural gas prices overall jumped on average 7 cents Monday led by double digit gains on the West Coast, and added strength from eastern points. Operational problems in California prompted gains at supply points as far away as the Rocky Mountains. At the close of futures trading October had fallen 4.8 cents to $2.837 and November was 3.8 cents lower at $3.033. November crude oil slid 96 cents to $91.93/bbl.
The physical market bounded sharply higher Tuesday, prompted by a strong screen and low inventories at some points. Nearly all points recorded double-digit gains. At the close of futures trading, October had added 18.0 cents to $2.992 and November had climbed 16.3 cents to $3.104. October crude oil gained 63 cents to $97.17/bbl.
Cash quotes overall on average were 7 cents higher Thursday, paced by double-digit, weather-driven gains at Northeast points. Eastern, Midcontinent and Rockies prices all gained as well.
The cash market Wednesday fell overall on average by about 9 cents and elected to coat-tail on a futures double-digit loss on Tuesday. Gulf and California points were notably weak as were eastern points. Northeast locations managed to hold steady or record modest gains. At the close of futures trading August had gained 11.6 cents to $2.853 and September had risen 10.9 cents to $2.837. August crude oil tacked on $1.90 to settle at $83.91/bbl.
Nearly all points scored double-digit gains, but Tennessee reported limited capacity available out of the Marcellus Basin and prices there plunged. Overall, physical prices for weekend and Monday delivery gained about 17 cents with Rockies and Midcontinent prices showing strong gains and Northeast and Southern California price rises somewhat more subdued.
A majority of points registered double-digit gains Monday with Northeast locations leading the advance. Expected late spring New England heating loads prompted higher quotes, but a strong screen placed a bullish tone to nearly all delivery points. Futures took much of their cue from longer term weather forecasts showing an axis of warm temperatures engulfing the Midwest and East.