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What would be the basis of the natural gas pricing validation, as related to our contracted cost of gas with our gas supplier?

April 26, 2017basis contracted COST Gas natural gas pricing Supplier validation

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What would be the basis of the natural gas pricing validation, as related to our contracted cost of gas with our gas supplier?

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Fortunately, gas pricing validation can be easily accomplished due to the publication of NYMEX and the associated basis. Whatever purchasing strategy you used in the past to purchase your gas and then determine its price can be utilized as the mechanism to establish the pricing in the future.