Natural gas futures bulls received a little cheer heading into the Thanksgiving holiday after the Energy Information Administration (EIA) reported that 6 Bcf was withdrawn from underground storage for the week ending Nov. 19. As a result, December futures jumped higher Wednesday only to give back those gains to go off the board at $4.267, up three-tenths of a penny from Tuesday’s finish and 10.3 cents higher than the previous Friday’s close.
Articles from Thanksgiving
MRT said it will implement a System Protection Warning (SPW) effective at the start of the Nov. 26 (Thanksgiving) gas day until further notice. It includes restrictions against the creation of daily long imbalances and make-up of short due-pipe positions. See the bulletin board for details.
Sen Pete Domenici of New Mexico and Rep. W.J. Billy Tauzin of Louisiana, the chief Republican negotiators on the energy bill, said Friday that an agreement had been reached on the disputed issues in the tax package that allows them to make the text of the bill public on Saturday, and sets the stage for the measure to possibly clear both houses before lawmakers adjourn later this month.
Citing a forecast of cold temperatures through the Thanksgiving weekend and into next week in Market Zone 3 (M-3), Texas Eastern said Tuesday that due to anticipated operating conditions and loads, it will restrict interruptible M-3 deliveries starting Wednesday until further notice. “The need for further restrictions will be evaluated as conditions unfold,” the pipeline said. Also effective with Wednesday’s gas day, no due-shipper gas will be allowed to be taken off the system.
A source’s prediction the day before of a potential price “bloodbath” in trading for the long Thanksgiving Day weekend (see Daily GPI, Nov. 21) came true in spades Wednesday. The market’s hemorrhaging was severe, as plunges of around 70 cents or more were common in all regions despite a mostly flat screen, and the OFO-devastated Southern California border dropped about a dollar.
Because its initial open season period of Oct. 5 through Dec. 5included the Thanksgiving holidays, Dominion is extending thedeadline to Dec. 19 for its previously announced GreenbrierPipeline project in order to continue to gauge customer interest.
After beginning the post-Thanksgiving week with two days ofsoftness, the cash market got back on a firming track Wednesday intrading for the last day of November. The upticks were fairlymoderate overall, ranging from slightly down at a few scatteredpoints to Northeast gains in the teens.
Californians looking for reason to celebrate over theThanksgiving holiday may have found it in a new report from theCalifornia Energy Commission, which claims that the state shouldhave enough power to meet its electricity demand next summer,barring extraordinarily hot weather.