makes $7mil for dec03 half year, page-15

re: us record coldest ever Bought some Mar Gas Options on fri in anticipation of a big drawdown in storage in the coming weeks and many commentators are talking $10 prices very shortly
Some interesting websites if your interested re Nat gas supplies

http://tonto.eia.doe.gov/oog/info/ngw/ngupdate.asp

http://tonto.eia.doe.gov/oog/info/ngs/ngs.html

http://highlandenergy.com/agachart.htm

Cold brings power worries: For the first time since '89, a call for cutting back
By Jon Chesto
Thursday, January 15, 2004

http://business.bostonherald.com/bu...?articleid=1323

Subzero temperatures yesterday strained the region's electricity and natural gas supplies, prompting calls for consumers to conserve their heating use during a brutal cold spell.

Supplies are adequate for the roughly 1 million homes who heat with natural gas in Massachusetts, Northeast Gas Association president Tom Kiley said. But the pipes that deliver gas to the homes will be strained as never before, Kiley said. In some cases, that could mean sporadic reductions in gas flow or even outages.

The Northeast Gas Association urged customers who use natural gas heat in Eastern Massachusetts, Rhode Island and New Hampshire to reduce their gas use through tomorrow evening.

Meanwhile, ISO New England, an overseer of the region's power grid, said frigid weather will cause power usage in the area to reach an all-time high. The group also called for conservation measures last night and today.

As temperatures dipped below zero in Boston yesterday, Kiley said the natural gas suppliers in the region braced for record demand today.

``Every gas company in New England is predicting a record send-out between now and Friday,'' Kiley said.

For the first time since 1989, the industry group asked that natural gas consumers take steps to reduce usage, including lowering thermostats by a few degrees.

Meanwhile, ISO New England expects that the six-state region's demand for power will exceed 22,500 megawatts today, breaking a winter record set last January.

New England winter demand for power typically ranges from 17,000 megawatts to 19,000 megawatts, said Erin O'Brien, a spokeswoman for ISO New England. The power grid operator expects about 24,500 megawatts of electricity to be available to New England today.

This marked the first time in recent memory that the operator called for conservation measures - such as turning off lights and not doing laundry - due to cold weather, said ISO New England spokeswoman Ellen Foley.

``We're in a tight situation, and we're looking for folks to conserve whenever they can,'' Foley said.

No such strain is expected on heating-oil supplies, as the region had nearly 6.6 million barrels of oil in storage last week, said Michael Ferrante, president of the Massachusetts Oilheat Council. That's up from 6.3 million barrels one year ago, he said.

Still, the cold weather helped drive up the average heating oil price in Massachusetts by six cents a gallon, to $1.54 a gallon, in the past week, up from $1.41 a gallon one year ago, the state Division of Energy Resources said.

Diane Rodier, an owner of Hughes Oil Co. in West Roxbury, said her firm's 14-truck fleet has been constantly busy due to the chilly weather. But she said she doesn't expect customers will notice a drop-off in service.

``Our guys have been working seven days a week,'' Rodier said. ``But we're keeping up.''
__________________