Nat Gas News – October 5, 2018
Nat Gas News – October 5, 2018
Natural Gas Bulls on the Spot After Stunning Storage Injection
Investing Reported: Natural gas production was at a record high all summer. But hot weather until the penultimate week of September caused a spike in air-conditioning that forced utilities companies to burn more gas to feed the surge in power demand rather than store the fuel in underground caverns for winter heating. As a result, preliminary gas reserves for the 2018/19 winter have been at one of their lowest for the cold season and gas prices on the New York Mercantile Exchange (NYMEX) rose almost nonstop the past three weeks, handing a whopping 15 percent gain to correctly-positioned hedge funds and other speculators. But Thursday’s weekly data for gas reserves showed an abrupt end to that trend as utilities injected a surprisingly high volume of the fuel into storage. Now, traders holding large long positions in gas are expected to exit them, if they haven’t already begun dumping those contracts. For more on this story visit investing.com or click https://bit.ly/2zTMkQs
UGI Faces Nearly $2.1 Fine for Fatal Millersville Natural Gas Explosion
Central Penn Business Journal Reported: State utility regulators want to fine UGI Utilities Inc. about $2.1 million in connection with a natural gas explosion that killed a worker and destroyed or damaged several homes last year in Millersville, Lancaster County, according to a complaint the agency filed Thursday. UGI Utilities, based in Reading and has 20 days to respond to the complaint. If the company contests the fine, the matter would be heard by an administrative law judge. The Pennsylvania Public Utility Commission alleges that “UGI failed to follow its written, internal policies” and that its “procedures in place at the time of the explosion were deficient, especially in recognizing and managing an underground blowing gas situation.” For more on this story visit cpbj.com or click https://bit.ly/2CvXvRC
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