Replies to This Discussion

Permalink Reply by jffree1 on December 10, 2010 at 5:54

Also, didn't XOM just recently announce that they were shelving that New York terminal?

• ▶ Reply

Permalink Reply by Les Bamburg on December 10, 2010 at 7:33

Jffree, that is correct.  It is generally regarded that no additional LNG receiving terminals, beyond those currently under construction (Gulf LNG), will be built in the US for several years. 

• ▶ Reply

Permalink Reply by Henry on December 9, 2010 at 0:07

It's a sad state of affairs when we are cheering for $4.50.

• ▶ Reply

Permalink Reply by LP on December 9, 2010 at 4:32

On Bloomberg - http://www.bloomberg.com/energy/

NATURAL GAS ($/MMBtu)
PRICE*
Nymex Henry Hub Future 4.58
Henry Hub Spot 4.48
New York City Gate Spot 8.66

• ▶ Reply

Permalink Reply by Les Bamburg on December 10, 2010 at 7:44

LP, just realize that spot cash prices are no much of true indicator of the gas market since most produced natural gas is sold on a baseload (first of the month) basis rather than a single day spot basis.  For example the NY City Gate baseload price would be ~ $5.20/MMBtu for December.

 

The Nymex Futures price is a early view of January pricing but the expiration value of the January contract on 12/28 is more critical.    

• ▶ Reply

Permalink Reply by jffree1 on December 10, 2010 at 7:00

A thought to ponder... we are cheering gas over $4.00 now when we have become so jaded (after 2+) years of play watching that a well IP less than 15.0 MMcf is just sort of "Ho Hum" and WAHOOS!!! don't resound until we get one solidly over the 20.000 MMCFD mark (with an 8000# flowing pressure).  Gee, you have to wonder... is there a correlation?  LOL!!

• ▶ Reply

Permalink Reply by Les Bamburg on December 10, 2010 at 7:47

Jffree, I remember when I saw that 16.8 MMcfd for the EGP #63 and almost fell out of my chair!!

• ▶ Reply

Permalink Reply by jffree1 on December 10, 2010 at 8:17

My, how things have changed.  A friend of mine (75 yrs. young, who has been in the pipeline business for 40+ years) told me, when asked in 2008 what IP was considered a "good well", that "if it don't make a million cfd, it ain't a good gas well".  What a monumental understatement.  But, then, I don't think he's ever experienced a horizontal Haynesville well, either.

• ▶ Reply

Permalink Reply by Parkdota on December 16, 2010 at 12:18

Natgas just about to go below $4 which really surprises me.....this stinks.

• ▶ Reply

Permalink Reply by Les Bamburg on December 16, 2010 at 13:28

Parkdota, I wouldn't be concerned with today's pricing.  Check the NYMEX at the end of the month for a better indicator of January pricing.

• ▶ Reply

Permalink Reply by Parkdota on December 16, 2010 at 14:45

Les & GoshDarn, I hope you're both right.....I am schocked with an EIA working gas in storage report showing a 167 Bcf net withdrawal that prices went down.

• ▶ Reply

Permalink Reply by Skip Peel - Mineral Consultant on December 17, 2010 at 3:05

Dec. 17, 2010, 8:33 a.m. EST

Natural gas futures fall below $4; oil down

 

NEW YORK (MarketWatch) -- Natural gas futures on Friday fell 1.6% to $3.98 per million British thermal units, dropping below $4 for the first time since Nov. 19. Phil Flynn of commodities trading firm PFG Best said it's also the first time that natural gas has fallen below $4 in the month of December since 2001. "If you go back over the last few years, in December it's cold and the prices go up," Flynn said. "To be under $4 is almost unheard of." Normally, demand rises during the onset of winter, but this year, plentiful supplies of natural gas from U.S. domestic production have helped keep prices down, Flynn said. Also on Friday, crude oil futures fell 0.6% to $87.20 a barrel. Oil has been on a downward path since early this week, when the U.S. Federal Reserve signaled no new stimulus under its quantitative easing plan, cooling off demand for some commodities.

• ▶ Reply

• ‹ Previous
• 1
• 2
• 3
• 4
• …
• 6
• Next ›
• Page