The November gas futures contract is currently trading at $3.54, $0.03 lower than it settled yesterday. The 12 month strip is trading at $4.03/MMBtu and next year's winter strip (Nov 11 - Mar 12) is trading at $3.91/MMBtu.

Marcellus Update

Former secretary of the Department of Environmental Protection, John Hangar, recently gave a presentation at a crowded lecture hall in Penn State.

He urged people that oppose fracking for its environmental impact to think about what would happen next.

He explained that the fact of the matter is that we live in a world where energy is our most important resource and society cannot function without it.

Currently, natural gas represents 25% of the total demand for energy in the United States. If we stop extracting natural gas, this means we will have to turn other sources of energy such as coal and oil that are more expensive and are well known to be harmful to the environment.

"As we think about how we're powering our society, you have to come to grips with these issues," said Hangar at his presentation at Penn State.

Storage Update

Working gas in storage was 3,409 Bcf as of Friday, September 30. This indicates a net increase of 97 Bcf from the previous week.

Stocks were 78 Bcf less than last year at this time and 28 Bcf above the 5-year average of 3,381 Bcf.

Weather Update

The month of October is expected to have warmer than average temperatures east of the Mississippi River and should see colder than average temperatures west of the Rockies.

The 90-day temperature forecast predicts that most of the mid-west will have warmer than average temperatures, and only southern Florida will be colder than average.