The NYMEX October gas futures expired Wednesday at $3.759/MMBtu.

The November gas futures contract (the new Prompt Month) is currently trading at $3.73, $0.07 lower than it settled yesterday. The 12 month strip is trading at $4.14/MMBtu and next year's winter strip (Nov 11 - Mar 12) is trading at $4.03/MMBtu.

NYS DEC Releases "Rough Draft" for Fracking Regulations

The New York State Department of Environmental Conservation released its first proposed set of laws regulating high-volume Hydraulic Fracturing in New York State.

There appear to already be some issues with rules that were put forth Wednesday. Eric Goldstein, senior attorney with the Natural Resources Defense Council claims that the regulations "have inadequate safeguards against the release of hazardous wastes."

He also claims that the DEC's short timetable for the public comment period (which closes December 12^th) is "depriving the public of a chance for a meaningful review of the regulations."

A Range Resources executive is urging exploration and production companies to go above and beyond any regulations set forth by governmental agencies, in order to "gain the public confidence needed to open up highly prospective oil and gas plays such as the Marcellus Shale."

Storage Update

Working gas storage was 3,312 Bcf as of Friday, September 23. This indicates a net increase of 111 Bcf from the previous week.

Stocks were 91 Bcf less than last year at this time and 5 Bcf above the 5-year average of 3,307 Bcf.

Weather Update

The Hurricane Season appears to be dying down, and was a little less intense than was predicted at the beginning of the summer.

No severe storms or unusual weather patterns are expected to affect any Natural Gas production for the time being.