Union Gas Ltd. is taking bids through 1 p.m. ET Thursday on between 1 and 2 Bcf of Peak Storage service at its Dawn market hub. Capacity awards will be made within half an hour later, and injections may begin Friday. Winter 2001-02 withdrawals will be on an interruptible basis. Call Mike Morrison at (519) 436-5352 for more information.
storage
Articles from storage
Transportation Notes
El Paso reported Friday its system integrity was threatened byhigh linepack and it was making maximum injections at theWashington Ranch storage facility. The pipeline said it had imposedcustody limits at delivery points that are not taking scheduledquantities, and if necessary will limit overdeliveries at receiptpoints.
Spot Prices Continue Slide; Williams Highlighted
In response to recent mild temperatures and tame storagewithdrawals, natural gas spot prices are expected to fall further,possibly as low as $5.50/MMBtu by the next reported index,according to analysts with UBS Warburg. The level is far below the$7.00 mark the firm predicted in January.
Transportation Notes
NGPL waived the monthly net withdrawal minimums through Marchfor storage customers under Rate Schedule DSS. It also waived for2001 a requirement that 50% of DSS inventory be cycled by April 30of each year.
Warming Weather Gives Prices a Colder Feeling
Generally the cash market failed to find any support from eitherAGA’s big storage withdrawal report Wednesday afternoon or thescreen’s strong push upwards Thursday. With the exception ofupticks at a few scattered points, cash numbers ranged from flat todown nearly a dollar at Transco Zone 6 (NYC). Most of the declineswere between about a nickel and 30 cents.
Transportation Notes
Pacific Gas & Electric did not extend a systemwide OFObeyond Wednesday.
Transportation Notes
Sonat lifted Saturday an OFO Type 1 and force majeure associatedwith a shut-in test of its Bear Creek (LA) Storage Facility. BearCreek’s injection/withdrawal capacity was restored to 100%.
Transportation Note
Questar canceled Thursday the shut-in of its Clay Basin storagefacility that had been scheduled for Oct. 24-25. The maintenancework will be rescheduled next spring.
Prices Increase, But Weekend Continuance in Doubt
As expected, the cash market used the bullish futures reactionto Wednesday afternoon’s storage report as a springboard foracross-the-board gains of about a dime or more Thursday. But a latescreen retreat, continued lack of cooling load in northern marketareas and the usual dropoff in weekend demand raised doubts aboutany further increases today.
Transportation Notes
El Paso declared an Unauthorized Overpull Penalty situationTuesday effective until further notice. Washington Ranch StorageField is experiencing maximum withdrawals, the pipeline said, andit will limit scheduled volumes at underperforming interconnects toensure system integrity.