markets

Looming Winter Storm Sends New York Gas Prices to 3-Week High

Nor'easter storm

A late-winter storm set to dump snow on the U.S. Northeast is perking up the natural gas market, said John Borruso, director of gas trading at ConEdison in Valhalla, New York.

Deliveries to the Transco Zone 6 hub serving New York City rose to trade in a tight range of $2.90 to $3 per million British thermal units Tuesday, he said. Those would be the highest prices for the region in at least three weeks, Bloomberg data show. In New England, spot gas for the Algonquin hub near Boston was trading at $3.50 to $4.

The shutdown of Entergy Corp.’s Pilgrim nuclear reactor in Massachusetts may add to the price gains as more gas-fired power is required to meet demand. Cold weather could stick around over the next 11 days, Borruso said.

“The more volatility these storms bring in and the snow may extend winter further than March 31,” he said.

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