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Buoyed by a combination of a bullish tropical storm and storage concerns, natural gas futures rumbled higher Tuesday as weak shorts propelled the market to its highest level in almost two weeks. The September contract finished 9.5 cents stronger at $3.049. The out months were equally impressive, led by the October and November contracts which each gained 9.9 cents to close at $3.142 and $3.404 respectively.

Pressured by another large storage injection made even larger by a 14 Bcf revision, natural gas futures sunk lower Wednesday as traders once again set their sights on the sub-$3.00 level. However, similar to other moves down toward that level of support, yesterday’s selling was unable to demote prices beneath the $3.00 mark. The August contract settled at $3.087, down 7.8 cents for the day and just pennies above its $3.055 low.

The power is still off on Texas’ deregulation pilot, which was scheduled to finally begin today after its June 1 ramp-up was shut down in late May (see Daily GPI, May 23). Pilot customers now won’t have service from their new retail electric providers until at least July 20, and maybe even later, according to the Texas Public Utility Commission.

El Paso Corp. officially launched its friendly C$347 million ($228 million) bid for Calgary’s Velvet Exploration Ltd. on Thursday, which, when completed, would give the Houston-based producer about 172 Bcfe more in net reserves, 59% natural gas, in the highly sought after Western Canadian Sedimentary Basin. The acquisition was announced earlier this month (see Daily GPI, June 15).

Empire State Pipeline is holding an open season to garner market interest in a possible expansion that would give Northeastern markets, particularly those in New York, greater access to Canadian supply and storage. The open season closes July 31.

Empire State Pipeline is holding an open season to garner market interest in a possible expansion that would give Northeastern markets, particularly those in New York, greater access to Canadian supply and storage. The open season closes July 31.

A multi-year alliance will give Constellation Power Source the right to manage the Texas power resource needs for TNP Enterprises Inc.’s Texas-New Mexico Power Co. (TNMP) and First Choice Power under an agreement announced Wednesday. The Constellation Energy Group unit will manage about 1,100 MW under an agreement made through a competitive selection process begun by TNP last October. No financial details were disclosed.

Energy officials last week urged Congress to clear away the regulatory, legislative, tax and rate-related hurdles that are holding up construction of much-needed new power transmission and natural gas transportation facilities to serve the nation’s expanding energy appetite.

Energy officials yesterday urged Congress to clear away the regulatory, legislative, tax and rate-related hurdles that are holding up construction of much-needed new power transmission and natural gas transportation facilities to serve the nation’s expanding energy appetite.