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Gold/Mining/Energy : Big Dog's Boom Boom Room -- Ignore unavailable to you. Want to Upgrade?

To: excardog who wrote (5228)	11/26/2001 9:09:20 PM
From: energyplay	Read Replies (3) \| Respond to of 206350

Enron - So many NG E&P companies may have hedged through Enron or thru some other company who is a counter party to Enron... If Enron fails, and those hedges blow up, the hedged gas will then be dumped on the spot market - with inventories at the highest levels in years... Many of the hedgers have debt.... Natural gas E&P stocks prices will drop very sharply... This can be like LTCM (Long Term Capital Management) for the energy industry. Later, we may find some E&Ps hedged DIRECTLY with the consuming power/transmission/chemical companies, and those contracts are likely to be good - maybe. This explains what Apache APA did, in unwinding all their hedges. Meanwhile, the weather is warm.