Finally

Spot prices inched higher by a few pennies to a little more than a dime at most locations nationwide Monday compared to weekend levels, and basis tightened a bit with help from the 10.5-cent drop in near-month futures. But many observers still were left wondering how the huge basis chasm will be closed before the November contract goes off the board.

The cash market finally found the burden of struggling higher with little visible means of fundamental support too much to bear Thursday, resulting in across-the-board retreats ranging from about a nickel to a little more than 15 cents.

As if finally recognizing that they’ve been coasting higher recently in the face of fairly weak seasonal demand, prices yielded to bearish fundamentals Tuesday in posting declines ranging from 1-2 cents at a couple of western points to 15 cents or so. Most losses were around a dime. Transwestern-Permian was an aberration with a small gain.

After suffering though a week’s worth of daily advances, bears finally got their chance Monday as extremely mild weather forecasts turned last week’s buyers of natural gas futures into sellers. When a quick uptick at the opening bell failed to surpass Friday’s $5.295 high, sell orders flooded into the trading pit. It took just an hour for the September contract to drop 25 cents Monday morning, nullifying about two-thirds of last week’s advance. It closed for the session at $5.083, down 19.7 cents on the day.

TransCanada PipeLines Ltd. said Friday that it finally got some of what it wanted in a long, hotly-contested rate case before the National Energy Board. On Thursday the NEB approved key components of TransCanada’s 2003 Mainline Tolls application, including an increase in IT floor prices and its depreciation rate, as well as a new Southwest Tolling Zone that will encompass the existing Southwest Delivery Area that is currently part of the Eastern Zone.

TransCanada PipeLines Ltd. said Friday that it finally got some of what it wanted in a long, hotly-contested rate case before the National Energy Board. On Thursday the NEB approved key components of TransCanada’s 2003 Mainline Tolls application, including an increase in interruptible transportation (IT) floor prices and the pipeline’s depreciation rate, as well as a new Southwest Tolling Zone that will encompass the existing Southwest Delivery Area that is currently part of the Eastern Zone.

Getting past a Democrat-imposed roadblock, the Senate Committee on Energy and Natural Resources finally green-lighted Republican Joseph T. Kelliher to serve on the Federal Energy Regulatory Commission. The action came after the White House last week announced its intention to nominate a Democrat, Suedeen G. Kelly of New Mexico, to also serve on the Commission.

Finally, it was feeling more like spring than winter in nearly all market areas Wednesday, and the predictable market reaction was price declines ranging from barely lower to more than 60 cents, although the most common losses were between a dime and a quarter.

Forecasters finally are saying that Old Man Winter soon may be forced into retirement, and that news brought gas futures bears out of their caves on Monday. April futures staged a sharp reversal, opening 34.2 cents lower Monday morning and ending the day at $6.515, down 47.8 cents.