Repowering by Mexico’s Comision Federal de Electricidad (CFE) of the Poza Rica power plant to natural gas from fuel oil is nearing completion. The plant, in the state of Vera Cruz, is expected to begin delivering power to the grid next month, according to a press release from CFE. The plant is expected to generate about 255 MW using natural gas. Before the repowering, the plant was capable of generating 117 MW, based on installed capacity, using fuel oil. CFE said the switch to natural gas will eliminate the emission of more than 122,000 tons of carbon dioxide per year. The project cost US$153 million and included the modernization of three steam turbines. CFE is in the process of increasing its reliance on natural gas for power generation as it shifts from diesel and fuel oil.
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NatGas Cash, Futures Inch Lower; September Drops A Penny Following Storage Stats
Physical gas traders for Friday delivery mostly laid low Thursday and got their deals done before the release of Energy Information Administration (EIA) storage data. Nearly all points fell a few pennies into the red, with the exception of a few locations on the East Coast, where the combination of heat and humidity sent next-day prices higher by double digits.
Heat Next Week In Play; September Seen 3 Cents Higher
September natural gas is set to open 3cents higher Wednesday morning at $2.64as traders factor in a re-emergence of hot, humid weather next week, even while conceding that the peak of extreme weather-driven demand has liked passed. Overnight oil markets were mixed.
NatGas Cash Firms; Technical Bulls, Bears on Edge
It was basically a two-tiered physical natural gas market Wednesday, as surging weather and power-driven gains along the Eastern Seaboard lifted the slumping Southeast, along with the traditional producing basins into the black. Northeast prices jumped by double-digits, but elsewhere, declines of a few pennies to a nickel or more were common. TheNGI National Spot Gas Average added a penny to $2.54.
NGI The Weekly Gas Market Report
Power Burn Hit Record High in July, EIA Says; 2016 NatGas Price Forecast Raised to $2.41/MMBtu
Driven by competitive economics relative to coal and by warmer-than-normal temperatures, the amount of electricity generated using natural gas reached a record high during July, surpassing a record set in July 2015, according to the Energy Information Administration (EIA).
NatGas Cash Off A Couple of Pennies; ‘Last Hurrah’ For Futures Bulls?
Hefty weather-driven natgas cash gains at eastern points were unable to counter broad losses at a majority of market points in Tuesday’s trading.
Weather-Driven Spec Selling In Play; September Called 5 Cents Lower
September natural gas is expected to open 5 cents lower Tuesday morning at $2.70 as perceived moderation in temperatures and increased storage builds is prompting large non-commercial selling. Overnight oil markets were mixed.
Summit Utilities Buying NatGas Utility Founded by Industry Pioneer
Privately held Summit Utilities is doubling its customer base and expanding into Arkansas and Oklahoma with the acquisition of family owned A.O.G. Corp. and its subsidiary Arkansas Oklahoma Gas Corp. (AOG), a company that has deep roots in Arkansas and the early days of the natural gas industry.
Power Burn Drove Last Week’s Net 6 Bcf Withdrawal, EIA Says
Record-high natural gas power burn was the driving factor behind last week’s unusual 6 Bcf summer storage withdrawal, according to the Energy Information Administration (EIA).
Rare Summer Storage Draw Falls on Deaf Ears; NatGas Forwards Prices Dip
In a week that brought about a historically bullish natural gas storage report, forwards markets surprisingly shrugged off the news, sliding by an average 4.1 cents between July 29 and Aug. 3, according to NGI Forward Look.
