2000

Energy East Corp. has announced the successful completion of itsmerger with Connecticut Energy Corp., the first of four New Englandutility acquisitions initiated by the New York-based company in1999.

Questar filed a motion at FERC last week requesting authority tobuild a pipeline interconnection that could deliver up to 250MMcf/d into the Kern River system near Elberta, UT.

Critics of the controversial multi-state gas pipeline project— Independence Pipeline and the associated SupplyLink andMarketLink expansions — insist FERC treated the projects with kidgloves in its interim order last month, while the project sponsorsargue the Commission held their projects to unprecedented higherstandards that may be impossible to meet.

As part of an asset sales program, CMS Energy Corp. subsidiaryCMS Field Services sold 49% of its formerly 100% interest in theNorthern Header gathering system to affiliates of Enron Corp. andNorthern Border Partners. CMS, Enron and Northern Border Partnersplan to expand the gathering system, renamed Bighorn Gas GatheringLLC, to serve a broad area of northeastern Wyoming’s Powder RiverBasin. CMS Field Services will retain a majority interest inBighorn and act as project manager.

Royal Dutch/Shell Group (Shell) is hoping that a new jointventure with Commerce One, a leading provider of global e-commercesolutions, will help lower its procurement costs substantially. Thetwo companies announced a memorandum of understanding to form theyet-to-be-named company yesterday. The online marketplace isplanned to go live in the second quarter of the year, with stafffrom Shell, Commerce One and new recruits.

Once again Friday traders who expected the cash market tosuccumb finally to the negative price pressures that have beenbuilding up were left wondering where its support is coming from.Even though the normal drop in demand associated with a weekendseemed real enough, sources said, quotes were flat to down just atouch in nearly all cases.

©Copyright, 2000 Intelligence Press. All rights reserved. Thepreceding news report may Not be republished Or redistributed, in wholeOr in part, without prior written consent of Intelligence Press .

©Copyright, 2000 Intelligence Press. All rights reserved. Thepreceding news report may Not be republished Or redistributed, in wholeOr in part, without prior written consent of Intelligence Press .

New York state’s senate majority revealed a proposal recently toeliminate the gross receipts tax (GRT) on gas and electricity. Theproposal will be included in the senate majority’s tax reductionplan for the 2000 session, which will convene in January. JosephBruno, the senate majority leader, announced the proposal in aspeech before the New York State Economic Development Council lastweek.