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Enbridge, Suncor and Other Natural Gas-Related Stocks Higher as Frigid Weather Hits

The stocks of Canadian companies with exposure to the natural gas market are higher this morning as the Polar Vortex drives up short term natural gas prices - with prices at some delivery points in North America reaching record highs.

For example, at the Transco Zone 6, a pricing point for New York City Natural Gas, spot prices climbed at high as US$90 per million BTU, up from $13.82 per mmBtu on Friday.

Natural gas prices in Canada, however, are not as buoyant. Toronto-area spot gas slipped 27 cents from Friday to $4.99 per mmBtu according to The Globe and Mail, and in Alberta, where most of Canada's gas is produced, the benchmark spot price was the equivalent of $3.94 per mmBtu. While not as high as U.S. prices, this price point in Alberta is about 40% higher than it was a year ago.

According to The National Research Council of Canada, about 38% of Canadian households are reliant on natural gas for heating.

The shares of most Canadian natural gas companies are seeing upside momentum on the weather, with most up just under 1%. Enbridge (ENB.TO, ENB) is up 0.7%, Suncor (SU.TO, SU) is up 0.9%. Of the others, Imperial Oil (IMO.TSE), and TransCanada Corp. (TRP.TO) are up in Canada, although TransCanada's U.S. listed Stock ( TRP ) was lower.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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