Putting

Putting behind some negative results at times over the past two years, Bellevue, WA-based Puget Sound Energy (PSE) had its relatively high investment-grade credit rating affirmed by Standard & Poor’s Ratings Services at year-end Friday, sticking with a “BBB-” corporate rating for the PSE utility and its parent, Puget Energy. The outlook, S&P said, is stable for the combination utility serving the northwestern parts of the state of Washington.

As moderating temperature forecasts remained unconfirmed, January natural gas futures took the chance to test their surroundings. After putting in a $13.380 low in morning trade, the prompt month rebounded in the afternoon, jumping more than 40 cents in the final hour of trading to close at $14.043, up 42 cents from Friday’s close.

Putting in yet another multiple record-breaking trade day, January natural gas on Tuesday gained 50+ cents for the second consecutive session to settle at $15.378, up 53.7 cents from Monday. In addition to eclipsing the old all-time high prompt month settle of $14.994 (Dec. 8), the January contract also set a new spot month high of $15.78 during the day, which was high enough to exceed January’s life-of-contract high of $15.600 (Oct. 5).

Whether or not the down-move has run its course remains to be seen as December natural gas Tuesday failed to add to Monday’s gains. After putting in a low of $11.500 and a high of $11.980, the prompt month ended up settling at $11.793, down 8 cents for the day.

With a track record of putting $2.5 billion of mostly equity into oil and gas over the past 14 years, GE Commercial Finance’s Energy Financial Services unit late Monday announced it has invested $70 million as a first-time offshore gas play, joining a limited partnership with FW Oil Exploration LLC to acquire and produce gas and associated hydrocarbons in the Gulf of Mexico. Energy Financial Services said it also will finance completion of a 48-mile gas pipeline system to transport volumes from the South Padre Island field.

Putting in their eighth up day out of the last nine sessions, September natural gas futures on Friday saved their best for the last 15 minutes of the regular session. During this time, the prompt month rallied to record a new $8.750 high before settling at $8.700, up 22.9 cents on the day.

Putting in a strong second quarter, thanks to two previous transactions, Occidental Petroleum Corp. said Friday that its net income for the second quarter 2005 was more than twice as much as the company’s net income for the second quarter 2004. For 2Q2005, Occidental posted net income of $1.536 billion ($3.82 per share), compared with $581 million ($1.48 per share) for 2Q2004.

The Senate Energy and Natural Resources Committee last Thursday voted out by a wide margin an omnibus energy bill, but it won the overwhelming support only by putting off some of the more controversial amendments involving the moratorium on drilling on the Outer Continental Shelf (OCS), siting authority over liquefied natural gas (LNG) terminals anda renewables’ mandate for electricity production until the floor debate on the measure, which is likely to occur in June.

Some Canadian natural gas producers evidenced continued confidence the stalled Mackenzie Gas Pipeline will be built, putting up C$58 million (US$46.4 million) last week for new drilling rights in the central Mackenzie Valley.