Expiring

Expiring December natural gas futures posted a double-digit loss as traders elected to focus on an incoherent weather outlook and adjust positions as the deadline for December trading approached. At the close December had fallen 17.8 cents to $3.364 and January had skidded 14.0 cents to $3.525. January crude oil gained a stout $1.44 to $98.21/bbl.

Shippers are protesting a compliance filing of Kern River Gas Transmission that would force shippers within the same class whose contracts are expiring to unanimously agree to renew for the same term, or face costlier rates.

The expiring August contract settled unchanged, but more distant contracts eased although analysts viewing a deteriorating price regime remain optimistic and suggest that if prices should somehow surge pass $5 during the hurricane season or later in the fall, it would be a good time to initiate producer hedging. At the close August remained unchanged at $4.370 and September had fallen 1.3 cents to $4.318. September crude oil faltered $2.19 to $97.40/bbl.

Expiring June natural gas futures closed lower Thursday as market bulls were hit by a government inventory report showing a build in inventories above what they were looking for. At the close June had settled 5.3 cents lower at $4.326 and July futures were down 6.3 cents to $4.360. July crude oil fell $1.09 to $100.23/bbl.

Appearing to be pretty comfortable with the current price level, natural gas futures traders nudged the expiring May contract around a 6.5-cent range on Wednesday before it went off the board at $4.377, down a penny from Tuesday’s regular session finish. June futures didn’t display much more oomph as what is now the new front-month contract closed the day at $4.408, down 3.6 cents from Tuesday’s close.

With shipper contracts expiring in 2015, Alliance Pipeline Ltd. plans to develop receipt and short-haul services that take advantage of the pipeline’s location near developing gas shale plays in British Columbia and North Dakota, Alliance said. The new offerings will complement the pipeline’s “bullet line” service from Western Canada to Chicago, as well as provide hub services such as the Natural Gas Exchange and the Alliance Chicago Exchange project.

With shipper contracts expiring in 2015, Alliance Pipeline Ltd. said Friday it will develop receipt and short-haul services to complement its “bullet line” service from Western Canada to Chicago, as well as provide hub services such as the Natural Gas Exchange and the Alliance Chicago Exchange project.

With shipper contracts expiring in 2015, Alliance Pipeline Ltd. said last Friday it will develop receipt and short-haul services to complement its “bullet line” service from Western Canada to Chicago, as well as provide hub services such as the Natural Gas Exchange and the Alliance Chicago Exchange project.

Pacific Gas and Electric did not extend a systemwide Stage 2 high-inventory OFO beyond Wednesday.