Fully

Iroquois Gas Transmission System LP’s Eastchester ExtensionProject has been fully subscribed and will bring 230 MDth/d topower electric generation to serve residential, industrial andcommercial customers in New York City served by Consolidated EdisonEnergy Inc., KeySpan Ravenswood Inc., Orion Power Holdings Inc.,Mirant New York Management Inc. and Virginia Power Energy MarketingInc.

Because El Paso’s Eunice Natural Gas Processing Plant justupstream of the TGT compressor station in Acadia, LA, is not fullyprocessing the gas stream available this winter (like others inSouth Louisiana), TGT said it is having operational problems due todownstream gas having excessive liquids. It notified customers thatgas received at any point, including points upstream of the EunicePlant, must not have a hydrocarbon dewpoint in excess of 10 degreesFahrenheit. Receipts not meeting that specification may be rejectedin whole or partially, TGT said.

A small group of producers and marketers yesterday said they”fully support[ed]” the complaint in which California regulatorsaccused El Paso Natural Gas and its marketing affiliate El PasoMerchant Energy Co. of anti-competitive practices and affiliateabuse in connection with the $38.5 million contract arrangementbetween the two.

In a move that has similarities to the El Paso NaturalGas-Dynegy contract, KN Energy has overcome a seriousdecontracting/underutilization problem on Natural Gas PipelineCompany of America by awarding a two-year contract for 500,000MMBtu/d of firm transportation capacity to Chicago to AquilaEnergy.

Chesapeake Energy Corp. of Oklahoma City, OK, fully exercised ona cash-less basis the common stock purchase warrant issued to itfrom Gothic Energy Corp. in March 1998 and had thereby acquired2,394,125 shares of Gothic common stock. Chesapeake now owns about13% of Gothic’s common stock. The warrant for 2,439,246 shares hadbeen issued to Chesapeake as part of a transaction involving theacquisition by Chesapeake of shares of Gothic’s senior redeemablepreferred stock, a 50% interest in Gothic’s Arkoma basin gas andoil properties and a 50% interest in substantially all of Gothic’sundeveloped acreage. The shares were issued pursuant to thecash-less exercise provisions of the warrant that permittedChesapeake to surrender the right to exercise the warrant inexchange for a number of shares (45,121) of Gothic common stock.

Dominion Resources Inc. and Consolidated Natural Gas Co.shareholders approved the merger of the companies to create thelargest fully integrated gas and electric company in the U.S.

DuPont is planning a stock split-off to establish Conoco as afully independent company. The split off would be achieved throughan exchange offer providing DuPont stockholders the opportunity toexchange, on a tax-free basis, shares of DuPont common stock forshares of Conoco Class B common stock currently held by DuPont. Theexchange offer is subject to approval by the SEC and acceptablemarket conditions. It is expected the exchange offer will becompleted in the third quarter.

Most of the companies in the oil and gas industry – 94% -report they will have addressed fully by September anycomputer-related challenges posed by the arrival of the newmillennium, according to a survey tracking the industry’s Y2Kprogress that was released last week.

Most oil and gas companies – 94% – report they expect to befully Y2K ready by next September, according to a survey that wasreleased yesterday at a conference of the oil and gas sectorworking group of the President’s Council on Year 2000 Conversion.