Today's news. PCP.to at 8.80 per BTU has enormous cash flow. And prices may move higher. We are talking 3 billion or more annually. Someone do the math.
Natural gas futures on the New York Mercantile Exchange closed up $1.101 at $8.485 per million British thermal units. Earlier in the day, prices hit a record high of $8.80 per Btu.
The EIA projected U.S. natural gas supplies in storage would decline to 0.64 trillion cubic feet (tcf) at the end of first quarter 2001, about half as much supply when compared to same period of 2000.
''Spot gas prices at the (producer) wellhead have never been this high for such a sustained period of time,'' EIA said. ''Cold weather for prolonged periods this winter would strain supplies and could result in even higher spot prices.''
If you look at the estimates for the first quarter they are substantially lower than the 4th quarter projection. I think they estimate .68 for the 1st Q and 1.00 for the 4th. Why would earnings fall off or are the analysts just way behind in their revisions.