Natural gas' latest tune: 'It's cheap, cheap,' but it isn't 'cheap, cheap, cheap'

摘要

In discussing the impact natural gas might have on the domestic steam coal market the remainder of the year, a USCR source sounded much like a newly hatched chick. The utility fuel buyer was chirping about the continuing attractiveness of natural gas versus coal in the portfolios of power producers while simultaneously predicting that the former fuel will lose some of its luster fairly soon. He acknowledged that gas is still priced low enough to cut into coal's share in many regions of the country, but he anticipates some upward movement as the year progresses, providing coal with an opportunity to better its position.