Confirmed

A top official with PG&E Generating this week confirmed whatsome, such as FERC, have suspected already-that the increase innatural gas demand for power generation will not be as great as hasbeen anticipated for the immediate future.

Southern Energy Inc., a unit of Southern Co. is selling its 50%interest in Louisiana Generating LLC to NRG Energy Inc. LouisianaGenerating, which will now be held 100% by Minneapolis-based NRG,was recently confirmed by U.S. Bankruptcy Judge Gerald H. Schiff asthe winning bidder for bankrupt Cajun Electric Power Cooperative’s1,708 MW of fossil-fueled generation. Louisiana Generating offered$1.026 billion for the Cajun assets.

A Matagorda Offshore Pipeline System 24-inch line leak at theMustang Island 758 delivery point was confirmed Wednesday morning,causing the shut-in of 17 of the 24 producing blocks connected toMOPS. Shippers and operators were being notified around noonWednesday that the outage, affecting a total of 129,743 MMbtu/d,will last about seven days.

Thursday’s trading confirmed the signs from Wednesday that therecent bullishness in swing prices had reached a peak. Although afew points were flat to 2-3 cents higher Thursday, the majorityfell by several cents, with the greatest weakness occurring in theMidcontinent/Midwest and Southwest markets. Cash anticipated afutures downswing and beat the screen to the punch by starting tosoften earlier, a Midcontinent marketer said, although Nymextraders eventually wound up the day with a small gain.

The Senate last week confirmed Commissioner Curt Hebert Jr. to anew five-year term on the Federal Energy Regulatory Commission. Histerm expires in June 2004.

The Senate last week confirmed Commissioner Curt Hebert Jr. to anew five-year term on the Federal Energy Regulatory Commission. Histerm expires in June 2004.

Merrillville, IN-based NiSource confirmed yesterday what someobservers have suspected for some time: that Columbia EnergyGroup’s failed bid for Consolidated Natural Gas was partly a veiledattempt to protect itself from being targeted by a buyer. NiSourceannounced that it has had an offer for Columbia on the table sinceApril 1 but has been rebuffed repeatedly and is making its hostilebid public in an effort to pressure Columbia’s board.

In one of its speediest confirmations ever on Capitol Hill, theSenate on Friday approved by unanimous consent the re-appointmentof Commissioner William L. Massey to a second five-year term on theFederal Energy Regulatory Commission.

Sen. Larry Craig (R-ID) confirmed last week that he has sought”some information” from FERC on its natural gas policy optionspaper, saying he was especially concerned that certain proposalscould lead to re-regulation of the gas industry.