Market

“It’s been a fun market recently if you like roller-coasters.” AGulf Coast marketer was referring to Thursday pricing that onceagain started significantly lower but later moved higher to settlenear the top end of daily ranges. Softening continued at mostpoints but was very mild compared to the larger drops earlier thisweek. A majority of the declines were about a nickel or less, and afew scattered points even turned in flat performances.

Sempra Energy Information Solutions, a newly-formed SempraEnergy subsidiary, announced yesterday it has entered into a jointventure with two information technology companies to form SolianceNetworks, a provider of Internet-based information systemstargeting small and mid-sized energy utilities. Sempra owns themajority interest in Soliance and Dale Kelly-Cochrane, the formervice president of Sempra Energy’s strategic planning forunregulated businesses, is the joint venture’s president.

BP Amoco will be marketing 45 MMcf/d of gas production from theSable Offshore Energy Project (SOEP) through an agreement with NovaScotia Resources (Ventures) Ltd. [NSR(V)L].

Citing significant market-area demand, Florida Gas Transmissionissued an Overage Alert Day notice Friday for the system east ofStation 12 (Santa Rosa County in the Florida Panhandle). A decisionon whether to extend the OFO was not due until Saturday morning.

Although “storm hype” was a popular phrase in market discussionsThursday, the hype factor was beginning to fade in the afternoon asTropical Storm Bret achieved named status, prompting the Mexicangovernment to post coastal storm warnings from Tampico southward.Some strengthening of Bret is likely over the next 24 hours, theNational Hurricane Center said in a 4 p.m. CDT advisory.

The Greenwood Commissioners of Public Works (CPW), the municipalorganization responsible for the energy needs for the city ofGreenwood, SC, said it has entered the market for a total energyprovider. The CPW is searching for companies with tangible assetsto provide comprehensive energy supply services, including powersupply and gas supply. Energy supply proposals may includealternatives ranging from full requirements service to thedevelopment of owned generating resources, the CPW said.

Florida Gas Transmission, citing significant market-area demand,issued an Overage Alert Day notice Tuesday for the system east ofStation 12 (Santa Rosa County in the Florida Panhandle). The noticehas a 6% tolerance for daily negative imbalances. FGT willre-evaluate conditions this morning before deciding whether toextend the OFO through today’s gas day.

Natural Gas Intelligence the weekly gas market newsletter

The overall cash market drifted lower Friday, with quotesranging from essentially flat into Northwest for both domestic andCanadian gas to nearly 15 cents lower at the PG&E citygate. Thegeneral softness primarily was a function of the usual weekenddropoff in gas load, sources said.