Positions

January natural gas managed a small gain Wednesday as traders saw an ongoing tussle between algorithmic traders taking profits on short positions matched up against a cadre of willing sellers. At the close January natural gas had risen 2.7 cents to $3.155 and February had gained 2.8 cents to $3.198. February crude oil gained $1.43 to $98.67/bbl.

January natural gas advanced Thursday as traders anticipating a further increase in gas storage had to scramble to cover short positions when the government announced an inventory decline. January gained 9.8 cents to $3.648, and February posted a gain of 9.7 cents to $3.675. January crude oil slipped 16 cents to $100.20/bbl.

As attractive hedging positions begin to roll off in 2012 and 2013 for exploration and production (E&P) companies, particularly for natural gas, energy analysts will be keyed in to which companies add new hedges and at what prices, according to Tudor, Pickering, Holt & Co. (TPH).

As attractive hedging positions begin to roll off in 2012 and 2013 for exploration and production (E&P) companies, particularly for natural gas, energy analysts will be keyed in to which companies add new hedges and at what prices, according to Tudor, Pickering, Holt & Co. (TPH).

December natural gas rose Tuesday on extremely light volume as traders scrambled to determine positions and locate funds in the aftermath of the MF Global trading debacle. At the close December had risen 4.9 cents to $3.745 and January had gained 4.0 cents to $3.843. December crude oil added $1.28 to $96.80/bbl.

September natural gas inched higher Wednesday as traders noted a less supportive weather environment, but they were reluctant to initiate any new positions prior to the release of a key government inventory report Thursday. At the close September was up 0.1 cent to $3.933 and October had added 0.1 cent to $3.943. September crude oil rose 93 cents to $87.58/bbl.

“Summer doldrums” appeared to be an apt description of Thursday’s cash market as few points budged much from their previous-day positions and weather patterns weren’t showing a great deal of change either. A large majority of points were flat to slightly softer despite forecasts of hot temperatures continuing into next week for most of the eastern two-thirds of the U.S.

Former BP plc CEO Tony Hayward, as well as former exploration chief Andy Inglis, have scored prominent positions in two energy firms.

Former BP plc CEO Tony Hayward, as well as former exploration chief Andy Inglis, have scored prominent positions in two energy firms. Vallares plc, an energy fund vehicle backed by Hayward and a group of high-profile investors, raised US$2.2 billion in an initial public offering, which is one-third more than the original target. Vallares, to be based in London, is sponsored by Hayward and financiers Nathaniel Rothschild, Tom Daniel and Julian Metherell, who is the former UK CEO for Goldman Sachs Group Inc. The company plans to buy an emerging-market energy firm or an energy asset with an enterprise value of US$4.85-12.9 billion, the sponsors said. Inglis has been tapped to run Petrofac plc’s new integrated energy services (IES) division.