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Prices Recoup Most of Pre-Holiday Losses

Traders returned Tuesday from a long weekend to find a much morerobust May cash market than they had left behind Friday. Many hadbeen impressed by the strong recovery of the June Henry Hub futurescontract Friday after it briefly dipped under $2, a Texas marketersaid. “We were immediately up to Friday’s highs as trading begantoday.” Weather demand wasn’t much of a factor as cool butcomfortable temperatures reign in the Midwest and Northeast marketareas, he added, “but there were still plenty of buyers up there.”

May 27, 1998

EIA Sees Pipeline Capacity, Utilization Up

The capacity of natural gas pipelines reached an all-time highof more than 84 Bcf/d or 30.7 Tcf/year in 1997, according to areported released Friday by the Energy Information Administration.”This represents a 15% increase over installed capacity reported in1990,” EIA said in a report: “Deliverability on the InterstateNatural Gas Pipeline System.” Flowing gas increased 24% between1990 and 1996, resulting in a record high 75% utilization rate,while U.S. consumption grew by 17%, fed by a doubling of imports.U.S. production increased 6%.

May 18, 1998

KN’s Touts 68% Participation in Choice Program

KN Energy said yesterday its Nebraska customer choice programhas topped all other pilots in the U.S. with more than 68% ofeligible Nebraskans participating. About 56,100 customers out of82,500 eligible elected to receive gas from an alternativesupplier, putting KN’s program well over Columbia Gas of Ohio on apercentage basis – only 35% of Columbia’s customers in its Toledo,OH, pilot are participating – but slightly less than Columbia inthe number of customers choosing alternative suppliers. Columbiacurrently has 57,500 customers signed up.

May 13, 1998

More Pipeline Audits on the Way in May

FERC said it plans to begin audits of three additionalinterstate pipelines next month as part of its stepped-up effort tocrack down on abuses involving marketing affiliates. The on-siteaudits of Columbia Gas Transmission, Great Lakes Gas TransmissionL.P. and CNG Transmission are expected to get underway around May18, according to a spokeswoman.

April 29, 1998

More Gas-Fired Power for New England

Stone & Webster Development and PP&L Global Inc. haveformed a joint venture to build a 250-500 MW gas-fired, merchantpower plant in Wallingford, CT to compete in the New Englandelectricity market. The partners have a signed “exclusivityagreement” with the city government of Wallingford to develop theproject on the site of a small oil-fired power plant theWallingford Department of Public Utilities (DPU) is retiring.

April 20, 1998

No Fooling, April Prices Up Again But Stalling

April swing prices showed even more strength Wednesday than theyhad in Tuesday’s trading for April Fool’s Day flow. Double-digitincreases were the order of the day at almost trading point.However, it appeared that numbers may have peaked for now sincesources reported that late deals were falling in most markets.That portends softening quotes today, they said.

April 2, 1998
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