Articles tagged weather

Hot weather in the producing states of Louisiana and Texas,along with the futures screen's rising example, set the tone forcash price hikes of 2-3 cents to almost a dime Monday. One tradersaid supplies seemed a bit tight in the Gulf Coast and Midcontinentfor some reason, allowing that it might have been southern coolingdemand soaking up available gas.

Cold weather helped many Western points avoid the prices dropsin the East that generally ranged from a nickel to 15 centsTuesday. It was snowing Monday and Tuesday in the Salt Lake Cityarea and that is expected to continue today, a trader told DailyGPI. Only the Southwest basins and Waha were left out of the West'sfirmness, likely because they were getting no demand support at allfrom intrastate Texas and Midwest markets, sources said.

Enough cold weather was either arriving or developing Tuesday inthe northern and western regions of the U.S. to arrest, at leasttemporarily, the mild price slide that had begun the week. For achange there was remarkable cross-market consistency in thatvirtually all points traded flat to up or down a couple of cents.

Cash prices continued to drop going into the weekend asexpected. Moderating weather and the usual lower weekend loads werethe obvious reasons for softening, sources said. Despite theoverall downward trend, falls were only 1-3 cents on several pipesin the Gulf Coast and Midcontinent. Again, the points that hadrisen most rapidly earlier in the week-such as Northeast citygates,Northern Natural-demarc and Waha-were the ones seeing the steepestdeclines.

Reacting to frigid weather spreading into the Southeast, Sonatis implementing an Operational Flow Order Type 3 effective todayfor four groups: Birmingham Group, South Main Zone 2, South MainZone 3 and Brunswick Line. The OFO will be extended Wednesday tothe East of Wrens and Savannah Line groups. Due to compressorproblems, Sonat said, the level of interruptible service in the twoSouth Main zones will be less than normal in limitation periods. Inaddition, an OFO Type 22 notice to become effective Wednesday forseven groups was issued by Sonat affiliate South Georgia NaturalGas.

As of Friday Sea Robin expected to restore flow Saturday (Feb.21) on its 16-inch West Cameron 580 lateral, pending favorableweather conditions. The force majeure implemented Jan. 27 whenrepairs on a leak began (see Daily GPI, Jan. 29) was to be releasedwhen the lateral was declared in service, Sea Robin said.

Cash prices for the weekend were down almost across the boardFriday, succumbing to mild weather and lower weekend demand.However, noting the late rebound in the Henry Hub futures contract,a marketer thinks that set the stage for a modest rally in cashnumbers today. He looks for Midcontinent pipes to move back up intothe low $2.10s.

Few areas were getting below 32 degrees (F) Thursday, but cashprices seemed to be frozen in place everywhere. The market was muchlike the landscape around Houston, one source said: flat in alldirections.

Depending on favorable Gulf of Mexico weather, Sea Robin expectsto restore flows on its 16-inch West Cameron 580 lateral by Sunday(see Daily GPI, Feb. 3). The force majeure that was implementedJan. 27 because of a leak will remain in effect until repairs havebeen completed.