Starts

The August aftermarket started out Wednesday flat to moderately up from end-of-July numbers in most cases, although the Rockies, California and some Northeast citygates dropped by varying amounts up to nearly a quarter. Comparisons to apparent first-of-month indexes were mixed, with swing prices tending to be above index by 10-30 cents in the East, but many western points falling short of index levels.

Canadian Natural Resources Ltd., announced Friday that the construction and commissioning of the Ladyfern Sales natural gas pipeline from the Ladyfern field to TransCanada PipeLines in Alberta has been completed. The 20-inch, 7.5-mile Ladyfern Sales line with a capacity of 600 MMcf/d went onstream Friday.

Houston-based Western Hub Properties officially opened California’s second merchant underground natural gas storage facility at Lodi, just south of Sacramento, on January 1 with about 78% subscription of the facility’s phase one working capacity of 9 Bcf, according to a Houston-based Western Hub marketing manager. Utilities and marketers are the bulk of the initial customers.

Houston-based Western Hub Properties officially opened California’s second merchant underground natural gas storage facility at Lodi, just south of Sacramento, on January 1 with about 78% subscription of the facility’s phase one working capacity of 9 Bcf, according to a Houston-based Western Hub marketing manager. Utilities and marketers are the bulk of the initial customers.

Vector Pipeline LP reported late Tuesday that a new interconnect between its pipeline and the Northern Indiana Public Service Co. (NIPSCO) has been established and put into service at Crown Point, IN. The new interconnect offers natural gas customers in the region access to an additional 600 MMcf/d transportation capacity.

Vector Pipeline LP reported late Tuesday that a new interconnect between its pipeline and the Northern Indiana Public Service Co. (NIPSCO) has been established and put into service at Crown Point, IN. The new interconnect offers natural gas customers in the region access to an additional 600 MMcf/d transportation capacity.

Natural gas prices remained on a roller coaster ride of volatility yesterday as bull traders used the latest storage data as a battering ram to propel prices higher in the last 30 minutes of trading. The December contract received the biggest buying boost, posting a 10.8-cent gain at $3.291. The 12-month strip lagged only slightly, advancing 8.4 cents to close at $3.383.

The October aftermarket was dividing along geographical lines as it began Friday. Eastern points fell off sharply from both first-of-month indexes and end-of-September levels. However, except for mild Permian/Waha softness, the West was realizing gains in both of the aforementioned cases. Sources attributed the relative western firmness largely to the region’s having a near-monopoly on any hot weather remaining in the U.S.

After various fits and starts surrounding the issue over a number of months, California regulators Thursday established an alternative demand stand-by charge, called a “peaking rate,” for Southern California Gas Co., which could open up the utility to “economic bypass” by interstate pipeline projects lined up and ready to go at the border. The California Public Utilities Commission (CPUC) rejected the utility’s own proposal as “anti-competitive.”