Claims against the bankrupt Enron Corp. from its trading partners continued to mount last week, as new companies went public with their estimated exposure levels. So far energy companies have admitted to net exposure of up to $983 million.

Companies that most recently reported their exposure levels include Mariner Energy Inc., EOTT Energy Partners LP, Pinnacle West Capital Corp., Ameren Corp., WestCoast Energy Inc., Patina Oil & Gas Corp., TEPPCO Partners LP and TECO Energy Inc.

Houston-based Mariner Energy, which is majority owned by an affiliate of Enron North America (ENA), announced that as of Nov. 30, it is owed by ENA approximately $26.2 million for commodity price hedges through 2003 and approximately $5.5 million for oil and gas production for the month of November. As of Dec. 1, Mariner said it has redirected its production previously sold to ENA to other parties. Mariner made clear that it is not among the Enron entities that have filed for bankruptcy court protection.

EOTT Energy Partners said Friday that it is conducting commercial supply and marketing activities in support of the MTBE processing facility acquired in June from Enron Corp. EOTT added that, with the inclusion earlier this week of Enron Gas Liquids Inc. (EGLI) in Enron Corp.’s Chapter 11 filing, clarification of EGLI’s long-term performance under its 10-year agreements with EOTT will be required under Enron’s bankruptcy proceedings.

At this point in time, EOTT said it cannot determine whether EGLI’s bankruptcy will have an adverse impact on its ten-year agreements; however, EOTT acknowledged that it could be required to recognize a non-cash impairment of up to $30 million related to these contracts. In the interim, EOTT said it expects to continue commercial operations of the processing facilities, requiring the acquisition of feedstocks and downstream marketing of available products.

“This business unit was an important acquisition for EOTT and we intend to fully support its market potential,” said EOTT President Dana Gibbs.

Pinnacle West, parent of Arizona Public Service Company (APS), said its estimated net exposure to transactions with Enron and its affiliates is about $15 million before income taxes, while St. Louis, MO-based Ameren Corp. said estimates its overall financial exposure based on transactions with Enron Corp. and its affiliates to be less than $10 million on an after-tax basis.

Ameren said its overall financial exposure includes accounts receivable owed by Enron, which is less than $5 million on an after-tax basis. The company assured that its overall financial exposure, based on current market prices, is not considered material to the company’s financial position, results of operation, or liquidity.

Westcoast Energy also confirmed that its overall group exposure to Enron and its subsidiaries is not material. Westcoast said it conducts business with Enron and its subsidiaries in several business units and the total exposure to Enron varies with changes in market prices for natural gas and power.

Westcoast’s energy trading and marketing is carried out through Engage Energy, which has been decreasing its trading activities with Enron over the past month as well as actively reducing its credit exposure. As a result of this activity and netting agreement provisions in its contracts, Engage Energy has no material exposure to Enron, the company reported.. Engage Energy does not see any major negative impact on its current operations arising from Enron business.

As for exposure at Westcoast’s other business units, the company said there is potential exposure at Union Gas Limited of approximately C$13 million (C$7 million after tax) arising from a loan of natural gas earlier in the year. Exposure at the other Westcoast business units is nominal.

Patina Oil & Gas said that ENA is the counterparty on slightly less than 12% of its oil and gas hedge position. Based on closing prices on Nov. 28, Patina’s total unrealized hedging gain approximated $60.1 million, with ENA representing $6.9 million of that amount. The company warned that actual amounts, which will become due in the future, will be based on the ultimate closing prices of the contracts. Given ENA’s bankruptcy filing, Patina said these hedges may ultimately prove worthless.

Patina said that it also had a gas contract with ENA to physically deliver 5,000 MMBtu/d from Nov. 1, 2001 through March 31, 2002. Patina terminated the contract on November 29th and has since replaced it with another party on identical terms. Patina believes its exposure on the contract is limited to the gas it delivered in November, which had a value of approximately $420,000.

Houston-based TEPPCO said that it estimates its financial exposure resulting from Enron Corp.’s bankruptcy filing at approximately $6 million on a net basis. The company said the exposure includes up to $2 million based on the difference between crude oil sales and purchases, and $4 million of natural gas liquids and crude transportation fees. TEPPCO said it does not believe that its ongoing exposure from Enron’s bankruptcy filing will have an overall adverse impact on the partnership’s current and future financial strength.

TECO Energy also unveiled its exposure, which the company said stands at a maximum of $3.5 million. The exposure comes from TECO Power Services (TPS), Peoples Gas System and its new gas marketing subsidiary, Prior Energy. The company listed these exposures as not material and does not expect them to impact net income in 2001.

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