EBF 301
Global Finance for the Earth, Energy, and Materials Industries

Lesson 4 Activities

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Cash Price Activity

In this activity, I would like you to familiarize yourself with the Natural Gas Intelligence (NGI) data. NGI is one of the industry publications that reports physical, cash prices for natural gas. Inside FERC, Gas Daily and, OPIS do not allow their publications to be copied unless you have a subscription and receive prior permission. Natural Gas Intelligence is another source that publishes the natural gas cash prices. These come directly from the electronic trading platform.

For this assignment please visit Natural Gas Intelligence Data (NGI)1. Follow the Natural Gas Price Data tab and find the daily Price Snapshots. You should be able to see the historical natural gas prices in different locations.

Directions

  1. Choose two of those locations plus Henry Hub (three in total)
    You can find these three locations using the list menu on the top right.
    Choose Daily Prices from the list menu on the top left.
  2. Take a screenshot of the natural gas spot price graph for each of these three locations.
  3. Report the “Day Change” for each of the three locations (if available).
  4. Report the"Year/Year Change" for each of the three locations (if available).
  5. Explain the spot price changes in the last year according to the graph for each of the three locations.
    Do you see any trend? Any sudden change in the prices? 
    Try to find the reason and explanation.

Unfortunately, NGI has stopped publishing their natural gas spot prices publicly. A sample of the data can be found here but it is outdated.

Grading

This activity is due at 11:59 pm on Sunday, is worth up to 20 points on the EBF 301 grading scale. You will get 3 points for each correct and complete response to questions 1 - 5 and 0 points for incorrect or missing responses to questions 1-5. You will also receive 5 points for submitting the appropriate screenshots. 


Fundamental Factors

The Fundamental Factors activity is due as usual this week, at 11:59 pm on Sunday, and is worth 30 points on the EBF 301 grading scale. Please refer to the Fundamental Factors Instructions for additional information and grading rubric.

Note: The Natural Gas Intelligence website you just used is a great resource as you work on your weekly Fundamental Factors for natural gas. You can indicate where cash prices are trading, and that may help you with your trading decisions.


Quiz

Return to Canvas to complete the L4 Quiz.

Submitting Your Work

Cash Price Activity: Submit your work as a Word document or PDF to the Lesson 4 Cash Price Activity in Canvas.

Fundamental Factors: Submit your work as a single Word document to the Lesson 4 Fundamental Factors Activity in Canvas.

Quiz: Take the quiz in Canvas.