By OGJ editors
HOUSTON, Dec. 14 -- The arrival of colder weather in the US, particularly in the Midwest and Northeast, triggered a price rally Dec. 13 for heating oil and natural gas, with the rest of the energy complex following close in tow.
Recent weather predictions indicate that the wintry conditions will move in for at least a few more weeks, replacing the uncharacteristically milder temperatures so far this winter.
"Weather models, particularly the Canadian model, are starting to line up showing a ridging pattern that could deliver frigid Canadian air to the eastern half of the US for an extended period of time," reported analysts Dec. 14 at Enerfax Daily.
Energy prices
The January natural gas contract Dec. 13 on the New York Mercantile Exchange closed up 32¢ reaching $7.17/MMbtu. The February contract, meanwhile, gained 33¢ to $7.30.
Heating oil for January delivery rose by 3.13¢ to $1.26/gal on NYMEX Dec. 13. Unleaded gasoline for the same month increased by 2.13¢ to $1.10/gal.
Benchmark US light, sweet crude for January delivery gained 30¢ Dec. 13 on NYMEX to finish at $41.01/bbl. The February contract soared by 47¢ to $41.83/bbl.
On the US spot market, West Texas Intermediate crude at Cushing, Okla., gained 1¢ to $40.72/bbl.
The price of the OPEC basket of seven crudes edged up 7¢ Dec. 13, reaching $33.99/bbl.
