Trying

It wasn’t for a lack of trying, but in the end there was nothing bulls could do to keep natural gas futures prices from free-falling lower Monday. The combination of mild temperature forecasts, negative technical factors, and the continuation of an unimpressive tropical storm season was enough to place bears back at the market’s helm. September futures closed at $4.630, down 24.4 cents or 5% for the session.

Southwest Gas Corp.’s plea to further push back the date for the conversion of full-requirements (FR) service on El Paso Natural Gas to contract-demand (CD) service is merely a foot-dragging ploy on the part of the local distribution company (LDC), and should be rejected by FERC outright, said a group of major natural gas producers and marketers served by the pipeline.

Southwest Gas Corp.’s plea to further push back the date for the conversion of full-requirements (FR) service on El Paso Natural Gas to contract-demand (CD) service is merely a foot-dragging maneuver on the part of the local distribution company (LDC), and should be rejected by FERC outright, said a group of major natural gas producers and marketers served by the pipeline.

More than one trader got fooled trying to predict Thursday’s market. Sources had been near consensus Wednesday in expecting that day’s price slide to continue. Instead, cash quotes managed a fairly strong rally, rising between about a dime and a quarter nearly across the board. Only a nickel loss at the Algonquin citygate ran against the overall market grain.

Taking a page from its counterpart in the northern half of the state that is openly trying to avoid California regulation, San Diego-based Sempra Energy has updated its strategy to focus on a “Global Enterprises” group of businesses not regulated by their headquarters state, according to what Sempra senior executives have told financial and employee audiences in recent weeks.

The Federal Energy Regulatory Commission may be over-reaching in trying to hone regional transmission organizations (RTO) down to “four plus one (ERCOT),” according to congressmen and witnesses before the House Energy and Air Quality subcommittee Wednesday.

Energy companies were sent mixed market signals as analysts last week were trying to deal with and digest warnings of a possible recessionary economy, widespread stock sell-offs and teetering stock prices on a Wall Street that still was recovering from the destruction caused by terrorist air assaults.

El Paso Natural Gas is trying to head off an attempt by Chief Administrative Law Judge Curtis L. Wagner Jr. to expand the scope of a four-week-old FERC hearing — which has been limited to market-power issues so far — to include the previously-litigated allegations that the pipeline rigged bidding for transportation capacity on its system to favor its merchant-power affiliates.

The Alaska senate is trying to force North Slope gas producers to build a pipeline through the state and down the Alaska highway rather than across the Beaufort Sea and down the Mackenzie River to Alberta. The Mackenzie River route would be about 400 miles shorter and possibly much cheaper. Producers worry the measure could significantly change the economics of gas development there.