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Gold/Mining/Energy : Canadian REITS, Trusts & Dividend Stocks -- Ignore unavailable to you. Want to Upgrade?

To: LLCF who wrote (1390)	9/10/2001 2:08:07 AM
From: Lorne Larson	Read Replies (1) \| Respond to of 11633

Here's another site listing Alberta NG prices as at Sep 6. Note that it is specifically stated that "Quotes are in $Cdn/gj at AECO unless otherwise specified". Spot price is shown as bid $2.78, offer $2.80, the same as is shown for Sep 6 at the NGX site previously linked. Page also shows NYMEX trading at $2.465 (U.S.) on the same day. It's all there on one page. Case closed. discoveryplace.com

To: LLCF who wrote (1390)	9/10/2001 3:38:49 AM
From: Peter W. Panchyshyn	Respond to of 11633

Just following along here and thought I'd throw in that the transportation costs you're talking about assume that the particaular "arb" takes place. You are correct [if your numbers are right, I don't know] if one assumes they will buy @ Empress and sell @ Heny Hub but as in other commodity arbs, there may be other destinations... even end users no? ----------- You have hit upon a very important point. Yes does the particular arb actually take place? Who are the participants? Just producers and end users , or is it more complicated than that? Are there other destinations and other end users. Not the simple producer on the one end and user on the other end. That Lorne would have us all believe. Is it or will it involve a mere paper tranaction with little regard for the actual commodity and where it ends up. If that is the case then how does all this effect the trusts? I have been in these trusts for nearly two decades and have never heard mention of any of this as being a concern to the trusts themselves. The fact is that prices are not dangerously low. Historically they are now where they should be or just slightly higher. That we came from dangerously high prices to normal prices is of no concern. Bottom line that I have been trying to make is that these trusts made good money prior to the dramatic prices we saw this past winter. They made great and tremendous amounts with the dramatic increases and now that prices have gone the reverse from that they will again make good money (just not great). And they will do that by shifting around their production ratios and or to increase their production. It was not a disaster when oil prices fell to decades lows of $10 a few years back then recovered. The trusts and their investors prospered. Came out of that pretty well. Now a person can concern himself with every little number every hour of every day it is presented and worry and sit on the sidelines or he can take advantage of the situation and accumulate on weakness. Many here have the right idea they have made their intentions know. Others just dont get it and never will.

To: LLCF who wrote (1390)	9/10/2001 9:26:59 AM
From: VisionsOfSugarplums	Respond to of 11633

Yes, exactly. The actual delivery point is normally specified in the contract or deal. Who buys the gas can be anybody - another producer short on their own delivery contract, a marketer, a utility, etc. Transportation rates, or toll rates, are normally set ahead of the year (by say for example TCPL, and their published toll rates). How the price is derived at the various hubs and exchange points is normally a function of relating the price at the hub to pricing at major market centres (adjusted for transportation, exchange, other market factors, some of which change daily). Market factors can have an influence. For example, last year when US gas storage levels were low and additional pipeline capacity was added, some of the buyers were willing to pay premiums to deliver gas from Alberta to the US to get the gas on their pipeline and to the US (so effectively, the producers were paying next to no differential for transportation). Regards, t.