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OPUC Natural Gas Outlook 2014. July 8, 2014. -18. Klamath Falls Low -18. Peak Day!. US Storage Balances. Natural Gas Procurement Plan . Goal – To provide reliable supply at stable and competitive prices in an expected volatile market
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OPUC Natural Gas Outlook 2014 July 8, 2014
-18 Klamath Falls Low -18 Peak Day!
Natural Gas Procurement Plan Goal – To provide reliable supply at stable and competitive prices in an expected volatile market Premise - Avista cannot accurately predict future natural gas prices, but market conditions and experience help shape our overall approach Components: The Plan utilizes a mix of index, fixed price, and storage transactions • Transaction Dates: Hedge windows are developed to distribute the transactions throughout the Plan • Supply Basins: Plan to utilize the lowest pricing point for hedging – typically AECO • Delivery Periods: Hedges are completed in annual, seasonal and monthly timeframes. Discretionary long-term hedges may be also be executed.
PGA Commodity Cost Component Comparison Note: Hedged includes long term and prompt year hedges executed prior to June 2014. Planned hedges, storage, and index are a basin weighted 60 day average forward price as of June 23, 2014.