Citi Comments on ECA Marcellus Trust's Better-than-Expected 1Q11 Cash Flows

ECA Marcellus Trust I

reported distributable cash flows of $9.2 million, “which compares to $8.8 million in 4Q10 and our estimate of $7.6 million for 1Q11,” Citi reports. “The variance between our estimates and the trust's first quarter result can be primarily attributed to higher than forecast realized natural gas prices during the quarter (i.e. wider than anticipated differentials) partially offset by higher than forecast post production costs (i.e. $0.64 per MMBtu vs. our estimate of $0.52 per MMBtu),” Citi writes. ECA Marcellus Trust closed Friday at $26.98.