Playing

‘Playing it safe’ seemed to be the motto of natural gas futures traders again on Tuesday. After climbing as high as $11.860 in Tuesday morning trade, December natural gas began its search lower in the afternoon, putting in an $11.500 low before settling at $11.563, down 4.4 cents for the day.

Playing a little bit of “give-and-take” on Thursday and Friday, the June natural gas futures contract met Thursday’s 7.5-cent run-up with a 7.9-cent drop in Friday trading. The prompt month closed Friday at $6.401, after trading between $6.38 and $6.48 with 53,838 contracts changing hands.

With no drag from a weekend load slump playing a role, colder weather due in the Northeast and Midwest early this week, and the delayed support of a bullish storage report and its accompanying screen run-up Thursday, the March aftermarket got off to an impressively strong launch Friday.

Natural gas is playing an indirect, but clear role for the nation’s two largest wind power project developer/operators. They not only draw on some of the wholesale gas market’s volatility, but also on the location-scouting demands of underground gas storage facility development to find wind buyers and sites. One of the two companies is combining its wind and gas storage operations in one energy development business unit.

The record rainfall in various parts of the nation this year apparently is playing havoc with some pipeline construction schedules. Southern Natural Gas Co., for one, has asked, and received, from FERC two extensions to complete construction and place into service phase one of its South System Expansion II project in the Southeast.

The record rainfall in various parts of the nation this year apparently is playing havoc with some pipeline construction schedules. Southern Natural Gas Co., for one, has asked, and received, from FERC two extensions to complete construction and place into service phase one of its South System Expansion II project in the Southeast.

Fundamentals began playing a larger role in a rebounding weekendmarket Friday as several sources expressed relief that thepreviously frenetic screen was beginning to calm down.

A five-fold increase in drilling discoveries will eventually beneeded if Canadian producers are to keep up with expanded marketsfor their natural gas, according to a just-completed supply reviewthat comes virtually from the horse’s mouth.

As an enticement to do business, Aquila Energy is sending giftsto about 2,000 large energy users as part of a $3 million-plusdirect marketing and national advertising campaign. The gifts are aphone, antique bank replica, or a weather radio and are being sentto prospects in Chicago, Denver, Pittsburgh, New York, Houston,Baltimore, and Washington, DC.