Slightly

Raymond James & Associates Inc. on Monday appeared to take a step on the natural gas bull side as analysts slightly lifted their 2010 forecast for U.S. natural gas prices to $4.50/Mcf from $4.25.

Wholesale natural gas prices in the Pacific Northwest will remain unchanged or slightly lower this winter, a panel of industry representatives told the Oregon Public Utility Commission (PUC) last Tuesday during the PUC’s annual Gas Price Outlook meeting in the state capital at Salem, OR.

The National Hurricane Center (NHC) slightly upgraded chances of a tropical wave heading toward the Gulf of Mexico becoming the season’s first named tropical storm, and peak temperature forecasts in the 80s and 90s remained in place for most regions. But even with the additional supportive input of the previous day’s 4.8-cent rebound by July futures, cash prices were a little softer at a small majority of locations Thursday.

Potential Gulf storm, heat in southern U.S. slightly outweigh negative screen guidance.

June natural gas futures eased slightly in an apparently lackluster trading session, but those watching the more deferred contracts swoon sensed a significant change in the market that may lead to lower prices.

Natural gas futures closed slightly higher Tuesday as traders were content to remain on the sidelines and avoid the free-falling petroleum and equity markets. June natural gas futures rose 1.3 cents to $4.013 and July added a meager 0.4 cents to $4.133. June crude oil tumbled $3.45 to $82.74, and the Dow Jones Industrial Average spiraled lower 225 points to 10,926 largely on debt concerns in Greece.

Screen, some remaining cold weather help boost most cash points slightly.

Screen, some remaining cold weather help boost most cash points slightly.

The Federal Energy Regulatory Commission (FERC) has raised slightly the annual dollar limit for projects that natural gas pipelines with blanket construction certificates can proceed with on their own this year without having to obtain agency clearance first. In a final rule published in the Federal Register, FERC raised the automatic project cost limit to $10.5 million for 2010 from $10.4 million in 2009. This means that gas pipes holding blanket construction certificates can build, acquire, operate and/or replace facilities up to that dollar limit without having to request permission from the Commission. The agency also boosted to $29.9 million the prior-notice cost limit in 2010 for gas pipelines with blanket construction certificates. The prior-notice cost limit last year was $29.6 million. Projects at or below $29.9 million (but above $10.5 million) will be required to notify FERC in advance of any work during 2010, but they will not be subject to the certificate process. The Commission set $5.7 million as the annual limit that holders of blanket construction certificates can spend on underground storage testing and development without having to notify the agency. This is up from $5.6 million in 2009. The final rule took effect Feb. 24.