Diversity of supply adds up to security of supply, Tim Bullock, president of BP Gas and Power North America, told about 1,200 Rocky Mountain producers gathered in Denver Tuesday. “We’re going to need all of it, all sources of supply, including Alaskan gas and LNG, if we’re going to keep the price of natural gas at a level that allows demand to continue to grow,” he said.
Security
Articles from Security
El Paso Exec Sees Growing Supply-Demand Tightness, Need for More LNG
Security concerns since Sept. 11 probably will prevent the construction of any new onshore liquefied natural gas (LNG) import terminals on U.S. soil, Clark Smith, president of El Paso Merchant Energy Global Power, told analysts at Lehman Brothers 2002 CEO Energy/Power Conference in New York City last Tuesday. Smith said rather than focusing on new terminals onshore, El Paso is turning its attention to offshore ship-based gasification facilities at which LNG cargoes can be unloaded and transferred to the U.S. gas pipeline grid.
El Paso Exec Sees Growing Supply-Demand Tightness, Need for More LNG
Security concerns since Sept. 11 probably will prevent the construction of any new onshore liquefied natural gas (LNG) import terminals on U.S. soil, Clark Smith, president of El Paso Merchant Energy Global Power, told analysts at Lehman Brothers 2002 CEO Energy/Power Conference on Tuesday. Smith said rather than focusing on new terminals onshore, El Paso is turning its attention to offshore ship-based gasification facilities at which LNG cargoes can be unloaded and transferred to the U.S. gas pipeline grid.
ESAI Sees Substantial Summer Gas Demand Growth
Consultants at Energy Security Analysis Inc. said they expect a short-lived dip in gas prices sometime this month to be followed by a gradual strengthening in prices this summer because of increases in gas-fired generating capacity and a recovering economy. However, ESAI said it does not believe prices will catapult back to $10/MMBtu anytime soon.
Despite Soaring Prices, ESAI Sees ‘Bull Trap’ Ahead
Gas market bulls should be wary of an upcoming trap, according to Energy Security Analysis Inc. (ESAI). Despite the 23-cent jump to $3.305 by the near-month gas futures contract on the New York Mercantile Exchange last Monday, the Boston-based consulting firm predicted prices would tumble back to between $2.25-$2.50 in the near term as storage holders begin to sell off inventories to take advantage of higher forward prices. Although April futures backtracked some on Tuesday and Wednesday of last week, they soared 32 cents last Thursday to $3.431 before losing a little ground on Friday.
Despite Soaring Prices, ESAI Sees ‘Bull Trap’ Ahead
Gas market bulls should be wary of an upcoming trap, according to Energy Security Analysis Inc. (ESAI). Despite the 23-cent jump to $3.305 by the near-month gas futures contract on the New York Mercantile Exchange Monday, the Boston-based consulting firm is predicting prices will tumble back to between $2.25-$2.50 in the near term as storage holders begin to sell off inventories to take advantage of higher forward prices.
ESAI: PJM, NYC Summer Forward Power Price Curve Overvalued
The summer forward power price curve for both PJM and New York City is currently being significantly overvalued, Energy Security Analysis Inc. (ESAI) concludes in its latest “North American Power Market Watch.”
Industry Brief
Nicor Services, a subsidiary of Nicor, Inc., introduced a fixed payment plan for retail customers. The Nicor Services Fixed Bill gives customers security by guaranteeing a gas bill amount that remains the same for 12 months — regardless of changes in gas prices or the weather. The way the fixed bill program works is simple. Nicor Services calculates an individual monthly amount for each customer, based on a variety of factors, including the gas usage profile of their home and natural gas market prices. Quotes are good for 24 hours. Once a customer signs up, their monthly fixed bill amount is guaranteed not to change for 12 months. Nicor Services will pay the customer’s monthly utility bill and the customer pays Nicor Services their fixed bill amount. Before the end of a customer’s one-year agreement, a new fixed bill quote is calculated by analyzing the customer’s most recent gas usage profile, and the process starts over from there. Nicor Gas residential customers can receive individual fixed bill quotes and sign up for the program online at www.nicorservices.com or by calling 1 866 FIX-BILL (1 866 349-2455).
ESAI Offers Grim Outlook for NE Power Plant Development
The latest Energy Security Analysis Inc. (ESAI) survey of power plant projects indicates that only 19,000 MW of the close to 100,000 MW of projects in the development queues of the New England, New York and PJM ISOs are likely to be completed by 2006.
FERC Seeks Input on Security-Related Limitations on Information
The Federal Energy Regulatory Commission last Wednesday issued a Notice of Inquiry (NOI) examining how best to handle the confidentiality of certain documents, as it weighs its regulatory responsibilities against the need to protect against possible attacks on the nation’s critical energy infrastructure.