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After stabilizing within a tight, 10-cent trading range for thepast week, natural gas futures finally broke to the upsideWednesday amid a post AGA buying surge. May received the largestboost of any month, rallying 7.2 cents to post its first $3.00-plus settlement at $3.021. According to the American GasAssociation 2 Bcf was injected into underground storage facilitieslast week, bringing the total to 1,033, or 31% full. “Its alwaysdifficult to predict the way the market will react to the firstinjection of the season,” a Chicago trader said. “Expectationscalled for net change of plus or minus 10 Bcf and that’s what wegot. If you ask me, I am a little surprised by the market’sreaction,” he said.

Expanding its fast-growing sphere of influence within theindustry, EnronOnline, the Internet-based wholesale energytransaction platform sponsored by Enron, announced that it willhold the first online sulfur dioxide (SO2) emissions allowanceauction in the U.S. from March 13-16.

Expanding its fast-growing sphere of influence within theindustry, EnronOnline, the Internet-based wholesale energytransaction platform sponsored by Enron, announced that it willhold the country’s first online sulfur dioxide (SO2) emissionsallowance auction from March 13-16.

It is often said markets can fall twice as fast as they rise,and that has never been more evident than it was in the natural gasfutures market over the past two weeks. After all, what took bullsfive and a half days to produce, took the bears just two and a halfto knock down. With a 7.8-cent decline to settle at $2.444, theJanuary contract was 26 cents below Monday’s highs and 0.2 centsbelow its Dec. 10 settle.

Providing a lengthy list of expected merger benefits,Commonwealth Edison and PECO Energy told FERC and the PennsylvaniaPUC in applications yesterday that they expect approval in nearrecord time. They said the deal will “enhance electric competition,foster FERC’s independent transmission system initiatives, protectboth wholesale and retail customers, and ensure sufficient, safe,reliable, low-cost and clean energy for consumers.” They alsobelieve the merger meets all FERC criteria. A notice ofreorganization is expected to be filed shortly with the IllinoisCommerce Commission, the companies said.

Amid confirmation that volumes of exports to the United Statesare on the rise and confident predictions that prices will staystrong, Canadian natural gas drilling is accelerating rapidly. Thenumber of gas-well completions in western Canada is expected to hitat least 8,200 next year.

Amid confirmation that volumes of exports to the United Statesare on the rise and confident predictions that prices will staystrong, Canadian natural gas drilling is accelerating rapidly. Thenumber of gas-well completions in western Canada is expected to hitat least 8,200 next year.

Fueled by strong cash prices, a constructive technical picture,and lingering storm concerns the natural gas futures market wasquick out of the gates yesterday as traders lifted the market toits highest point in over a month. However, the buying pressuredropped off as November prices crossed the $3.00 threshold, whichprompted participants to trim gains into the close. After notchinga $3.03 high, the November contract finished at $2.97, a 4.3-centadvance on the day.

Fueled by a smaller than expected storage injection figure,natural gas futures continued higher yesterday morning asspeculative buying easily erased the Wednesday evening price dip.The buying pressure continued throughout much of the day as bullshad their sights squarely set on last week’s high of $2.72. Theirpersistence paid off, and shortly after 1 p.m. the prompt monthpunched through and notched a $2.75 high on the day. However, notenough follow-through buying was seen entering the market, and theresulting sell-off deposited prices back down near unchanged forthe day. The August contract finished just a half-penny higher at$2.647.