NGW a consumer gas provider estimates a rather cold winter

NGW a consumer gas provider estimates a rather cold winter As a result it decides to enter into a futures contract on the NYMEX for natural gas on November 2 2011 The trading unit is 10000 million British thermal units MMBtu The threemonth futures contract rate is 700 per MMBtu so each contract will cost NGW 70000 In addition the exchange requires a 5000 deposit on each contract NGW enters into 20 such contracts