Quick

A “Staff Paper on Price Formation Issues” issued Friday by the Federal Energy Regulatory Commission lays out proposals for standardizing the reporting of natural gas and electric prices, and asks for industry comments by June 20, if possible, in advance of FERC’s scheduled June 24 conference on the issue.

A “Staff Paper on Price Formation Issues” issued Friday by the Federal Energy Regulatory Commission lays out proposals for standardizing the reporting of natural gas and electric prices, and asks for industry comments by June 20, if possible, in advance of FERC’s scheduled June 24 conference on the issue.

CMS Energy Corp. and Southern Union Co. intend to respond as quickly as possible to a request from the Federal Trade Commission (FTC) regarding Southern Union’s pending acquisition of CMS’s Panhandle Eastern Pipe Line Co., according to a Form 8-K filed Thursday with the Securities and Exchange Commission.

After a quick dip back below $5.00 on the heels of Thursday morning’s bearish storage report (withdrawal of 86 Bcf), natural gas futures clawed their way back into positive territory for the day as traders continued to price in the latest weather forecasts. The February contract finished very strongly at $5.304, up 14.3 cents for the session and more than 30 cents above its $4.97 morning low.

After oscillating higher, then lower and carving out a quick 13-cent trading range in 20 minutes Thursday morning, January natural gas futures finished the day with a bang as traders priced in another in a string of bullish storage reports (91 Bcf withdrawal). January finished at $4.406, up 10.8 cents for the session and just four ticks below its daily high at $4.41.

The energy marketplace, investors and credit analysts appear to have little faith in Dynegy Inc.’s ability to turn its deteriorating financial picture around, because Thursday the three credit ratings agencies carved another slice from Dynegy Inc. and its affiliates’ ratings. Standard & Poor’s Rating Services, in concert with Moody’s Investors Service and Fitch Ratings, noted that the energy marketer’s liquidity is quickly disappearing and its ability to bring in cash is weakening.

The energy marketplace, investors and credit analysts appear to have little faith in Dynegy Inc.’s ability to turn its deteriorating financial picture around, because Thursday the three credit ratings agencies carved another slice from Dynegy Inc. and its affiliates’ ratings. Standard & Poor’s Rating Services, in concert with Moody’s Investors Service and Fitch Ratings, noted that the energy marketer’s liquidity is quickly disappearing and its ability to bring in cash is weakening.

President Bush has called on the U.S. Senate to take “quick action” on a comprehensive energy bill when lawmakers begin debate on the measure this week.

Convertible securities are becoming a popular vehicle among energy companies as a quick fix for Wall Street’s cash flow concerns in the wake of Enron’s bankruptcy. Williams announced its own program Friday, saying it plans this week to offer $1 billion in securities automatically convertible into company stock, as part of a previously announced plan to maintain the company’s investment-grade credit ratings.