Prolonged

Prospects of prolonged natural gas gluts have prompted a recommendation for Canada’s National Energy Board (NEB) to start preparing for hearings on costs of shutting down an industry cornerstone: TransCanada Corp.’s Mainline from Alberta to Ontario, Quebec and border crossings into the U.S. Midwest and Northeast.

January futures moved lower Friday on very light volume, but traders saw the market entering what could be a prolonged period of sideways price movement that could eventually lead to an advance. At the close January had fallen 5.5 cents to $3.114 and February had retreated 5.9 cents to $3.147. February crude oil rose 15 cents to $99.68/bbl.

Prolonged colder than normal temperatures pushed front-month natural gas futures to nearly a five-month high on Monday as the February contract started the new year off with a bang.

While predicting a prolonged period of stable natural gas prices, Xcel Energy’s Colorado utility has filed with state regulators for a $27.5 million general rate increase for its gas utility operations, effective in August next year. The Minneapolis-based utility holding company said it is seeking to recover various investments and increased operations/maintenance costs.

Canadian natural gas exports are still shrinking, but the speed of the decrease is slowing amid early signs that the prolonged supply decline will end.

Canadian natural gas exports are still shrinking, but the speed of the decrease is slowing amid early signs that the prolonged supply decline will end.

The costs of building and operating upstream oil and gas facilities fell drastically in Q1 2009 after a prolonged period of escalation. Since then they have hit bottom and were beginning to show signs of an upward trend at the end of Q1 2010, according to indexes developed by IHS Cambridge Energy Research Associates (IHS CERA).

A substantial and potentially prolonged downturn in the demand for global drilling and oilfield services — particularly onshore North America — led Moody’s Investors Service last week to lower its outlook on the sector to “negative” from “stable.”

A substantial and potentially prolonged downturn in the demand for global drilling and oilfield services — particularly onshore North America — led Moody’s Investors Service Monday to lower its outlook on the sector to “negative” from “stable.”