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Strategies & Market Trends : Natural Resource Stocks -- Ignore unavailable to you. Want to Upgrade?

To: Little Joe who wrote (10782)	5/1/2004 10:24:09 PM
From: c.hinton	Respond to of 108880

we are already short of natural gas and ng is very much a domestic market and i would hope less volitile on a global scale than oil.and comfortable does not mean complacent.g i am open to any opposing opinions and reserve the right to change my mind at the drop of a hat.

To: Little Joe who wrote (10782)	5/2/2004 12:03:05 PM
From: Cogito Ergo Sum	Read Replies (1) \| Respond to of 108880

Hi LJ, Off the top of my head... While inter related the two are still different with NG still being a continental affair. Look at the drought in the US West and on going problems filling reservoirs, see Colorado river maybe. So many new plants were built to use NG for electricity generation. Up here in Canada home of the largest (at least in NA) coal fired plant, the current provincial government has vowed to close it within a fairly short time frame and replace it with NG fired plants and (conservation, right!) Oh and we still can't get our Pickering nuke plants for Toronto running .. past I think 25% so this all puts pressure on exporting NG to the US.. our reserves are depleting like yours, at least until new areas are found if they exist.. In Canada and state side NG has become a major heating force for residential applications. In Toronto most new homes use it and I think something like 55 million US homes do. When it gets cold you need heat. When it gets hot you want AC. Despite deflation (I lean more to stagflation myself, but not the end of the world :o) we're still going to need this basic commodity and the demand is only so elastic. I think much of the elasticity of industrial demand has already been removed through inflation and productivity considerations. Ad that to supply inelasticity and ups and downs can occur of course but I think it's one of the better places to be. FWIW Here is another post on the mater from Tomas. Message 20083512 regards Kastel EDIT and look for more negative environmental reaction to coal bed methane extraction of NG... especially as it impacts that other precious resource, water and further to that farming and ranching.