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

To: Bearcatbob who wrote (180557)	9/16/2013 7:57:57 AM
From: Ditchdigger	Respond to of 206219

Thought I read last year that DOW Chemical had NG hedges out 10 years.

To: Bearcatbob who wrote (180557)	9/16/2013 8:19:55 AM
From: Ken Robbins	Respond to of 206219

The New York Mercantile Exchange (NYMEX)lists NG futures going out to Dec. 2025. quotes.ino.com

To: Bearcatbob who wrote (180557)	9/16/2013 10:08:59 AM
From: Biomaven	1 Recommendation Recommended By dvdw© Respond to of 206219

Also, could not a utility buy gas reserves in the ground and simply own the gas at cost? I don't think many reservoirs have a 30+ year life. Also, most utilities are regulated entities. They have no particular incentive to lock-in gas prices. If gas prices go up, they get to raise the price of their electricity. There's actually a paradox that took me a while to appreciate. Low natural gas prices actually hurt the profits of most electric utilities. I can't say I fully understand the dynamics, but to some extent overall prices seem to be related to prices for peaking plant supply, which are generally natural-gas driven. Peter

To: Bearcatbob who wrote (180557)	9/16/2013 11:03:06 AM
From: teevee	Respond to of 206219

Also, could not a utility buy gas reserves in the ground and simply own the gas at cost? I am not sure about today, however in the recent past, a few utilities have actually had a subsidiary nat gas E & P. If I recall correctly, a utility in Montana used to have a Canadian subsidiary E & P.