Posting

Pacific Gas and Electric did not extend a systemwide Stage 2 high-inventory OFO beyond Wednesday.

After posting a 22% first quarter decline in drilling activity relative to the same period a year ago, U.S. and oil and natural gas drilling staged a turnaround in the second quarter, with well completions rising 38% in the second quarter, according to a new report issued by the American Petroleum Institute (API). But natural gas, which has held the lead in drilling for most of the decade, is now lagging oil.

After posting a 22% first quarter decline in drilling activity relative to the same period a year ago, U.S. and oil and natural gas drilling staged a turnaround in the second quarter, with well completions rising 38% in the second quarter, according to a new report issued by the American Petroleum Institute (API). But natural gas, which has held the lead in drilling for most of the decade, is now lagging oil.

Cost cutting as a result of reduced drilling led Forest Oil Corp. to swing to a 2Q2009 profit of $37.1 million (36 cents/share) after posting a loss of $68 million (minus 78 cents/share) during 2Q2008. While the company reduced its drilling investment, management said for the remainder of the year the Denver-based company will focus its resources on its promising acreage in the Haynesville Shale and the Granite Wash.

Cost cutting as a result of reduced drilling led Forest Oil Corp. to swing to a 2Q2009 profit of $37.1 million (36 cents/share) after posting a loss of $68 million (minus 78 cents/share) during 2Q2008. While the company said it has reduced its drilling investment, management said for the remainder of the year the Denver-based company will focus its resources on its promising acreage in the Haynesville Shale and the Granite Wash.

Natural gas futures had a good shot at posting another solid gain Friday but by the close of floor trading were barely able to squeak into the plus column. August futures rose by 0.1 cent to $3.669 after trading nearly 12 cents higher and September eked out a 0.3-cent gain to $3.816. All contracts past February 2010 settled lower. August crude oil posted a solid gain of $1.54 to $63.56/bbl.

It wasn’t much, but the market could claim a little more of both heating and cooling load in posting solid double-digit increases at all points Thursday. However, cash quotes continued to depend more on prior-day screen support and a general sense that global economic woes may be starting to lessen in extending the week’s rally into its fourth day.

A major producer group last Thursday asked FERC to make a “small” alteration to its final rule on flow posting requirements, saying that the requested change would reduce the burden and cost of compliance without “materially changing the information that is made available to the market.”

A major producer group Thursday asked FERC to make a “small” alteration to its final rule on flow posting requirements, saying that the requested change would reduce the burden and cost of compliance without “materially changing the information that is made available to the market.”