By the OGJ Online Staff
HOUSTON, Sept. 10 -- International energy futures prices rebounded Friday with renewed enthusiasm generated by strong demand and diminishing inventories.
The October contract for benchmark US light, sweet crudes jumped 45¢ to $28.03/bbl on the New York Mercantile Exchange, while the November contract rose 52¢ to $28.19/bbl. However, in after-hours electronic trading the October contract dipped to $27.88/bbl.
Home heating oil for October delivery bumped up 1.96¢ to 80.28¢/gal Friday on the NYMEX.
Some analysts fear possible shortages of that fuel this winter because refiners, under pressure to supply the strong gasoline market this summer, have been slow to turn around their operations to emphasize production of home heating oil.
The October contract for unleaded gasoline also increased 1.75¢ to 82.54¢/gal Friday, and natural gas for the same month halted its downward spiral to regain 6¢ to $2.50/Mcf on the NYMEX.
However, with a comfortable cushion of underground gas storage still building before the start of the winter heating season in November, energy analysts expect natural gas futures prices to remain soft.
On the International Petroleum Exchange in London, the October contract for North Sea Brent oil shot up 73¢ to $27.69/bbl on the strength of the New York market for refined products futures. However, brokers expressed doubt that oil prices in that market could be sustained above $27/bbl for long. The October contract for natural gas also gained 3.3¢ to the equivalent of $3.05/Mcf on the IPE.
The average price for the Organization of Petroleum Exporting Countries' basket of seven crudes also jumped 58¢ to $25.52/bbl Friday.
For the full week, the average OPEC price was unchanged at $24.72/bbl, however. So far this year, the price for OPEC oil has averaged $24.75/bbl, compared with an average $27.60/bbl for all of last year and an average $17.47/bbl during 1999.
