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To: Knighty Tin who wrote (269352)	12/5/2003 8:20:09 AM
From: Pogeu Mahone	Read Replies (1) \| Respond to of 436258

gee whiz,what`s wrong with those traders?<NG> <<Message #269352 from Knighty Tin at Dec 3, 2003 9:29 AM David, Everyone I know is bullish about NG except for the folks who trade it for a living. <G>>> Friday, December 5, 2003 Natural gas prices driven up 10% By JON HARDING, CALGARY SUN A heavy drawdown on U.S. natural gas stocks drove the price of the fuel up 10% yesterday -- a harbinger of higher prices ahead, say analysts. Natural gas futures for January delivery rose 58 cents to $6.33US on the New York Mercantile Exchange, their highest level in months, after the U.S. Energy Information Administration's weekly storage report showed a draw of 59 billion cu. ft. in the week ending Nov. 28. "That's a major jump in price and while I'm not saying $6.33 is sustainable, the average price with normal winter weather will be definitely above $5," said Peter Linder, an analyst with Calgary's of Delta One Energy Fund. "There's a fifty-fifty chance we'll see NYMX gas at $10 this winter." A normal draw for the last week of November is 30 billion cu. ft., according to energy economist Carol Crowfoot of Gilbert, Laustsen, Jung Associates. Yesterday's report of a dramatic increase in consumption was spurred by a cold snap across much of the U.S. Northeast and Midwest, weather expected to last through this weekend. Just the conditions that, when combined with tight supplies of the fuel, tax what was a healthy storage level of 3 trillion cu. ft. heading into the coldest months, said Crowfoot. Tightness is created whenever demand threatens to outstrip supply. And because energy companies are producing less natural gas from harder-to-reach places, it takes longer to top up storage. "Major producers have walked away. They can't find enough gas to justify the expenses of drilling and that's why I've been bullish -- even with normal winter weather -- about natural gas prices," said Linder.