Holds

A three-member arbitration panel ruled that Oglethorpe PowerCorp.’s power marketing contract with LG&E Energy Corp. andLG&E Energy Marketing Inc. is valid and must be honored.LG&E began its challenge to the contract in 1998. The companysaid the decision will cause it to increase its fourth quarterafter-tax accrued loss on disposal of discontinued operations by$175 million. The loss stems from increased load demands, higherthan anticipated future commodity prices and other factors. Theincrease in the loss reserve will be recorded in discontinuedoperations.

A three-member arbitration panel ruled that Oglethorpe PowerCorp.’s power marketing contract with LG&E Energy Corp. andLG&E Energy Marketing Inc. is valid and must be honored.LG&E began its challenge to the contract in 1998. The companysaid the decision will cause it to increase its fourth quarterafter-tax accrued loss on disposal of discontinued operations by$175 million. The loss stems from increased load demands, higherthan anticipated future commodity prices and other factors. Theincrease in the loss reserve will be recorded in discontinuedoperations.

National Fuel Gas’ storage subsidiary, National Fuel Gas Supply,announced three open seasons last week; a 9,750,000 Dth offering offirm storage service and associated firm storage transportation, a19,100 Dth/d offer for new firm transportation capacity and a150,000 Dth/d offer of firm transportation service from a proposednew interconnect with Empire State pipeline at Pendleton, NY. Allof the open seasons began on Nov. 29 and will end on Dec. 16. Ineach case, gas flow is expected to occur no later than April 1.

National Fuel Gas’ storage subsidiary, National Fuel Gas Supply,announced three open seasons last week; a 9,750,000 Dth offering offirm storage service and associated firm storage transportation, a19,100 Dth/d offer for new firm transportation capacity and a150,000 Dth/d offer of firm transportation service from a proposednew interconnect with Empire State pipeline at Pendleton, NY. Allof the open seasons began on Nov. 29 and will end on Dec. 16. Ineach case, gas flow is expected to occur no later than April 1.

CMS Energy said last week it plans to hold an open season thatcould determine the fate of all or part of the Trunkline Pipeline.During the open season, which begins today and will end Dec. 15,the pipeline intends to determine how many customers are willing tosign long-term firm transportation agreements at full tariff ratesfor service beginning April 2000.

CMS Energy said yesterday it plans to hold an open season thatcould determine the fate of all or part of the Trunkline Pipeline.During the open season, which begins today and will end Dec. 15,the pipeline intends to determine how many customers are willing tosign long-term firm transportation agreements at full tariff ratesfor service beginning April 2000.

Natural gas futures were hit with another wave of selling earlyFriday as traders added to losses incurred during Thursday’s25-cent price slide. However after notching its lowest price inthree weeks at $2.87, the December contract worked its way higherto settle at $2.961, a 0.4-cent loss for the day.

Occidental Petroleum, the unpredictable mid-size producer, holdssome wild cards in California’s unfolding natural gasrestructuring, and it’s so far playing them close to the vest.Independents in the south San Joaquin Valley oil patch think Oxy is”up to something,” perhaps a merger with another Californiaproducer, while others are watching the company put increasinglymore gas supplies on the market since buying Elk Hills reservesfrom the federal government two years ago.

Portland Natural Gas Transmission System is holding an open season through Oct. 22 on its PNGTS Pipeline to elicit interest regarding new transportation services such as access to an interconnect with Algonquin’s HubLine project and consequently, to the lucrative Boston power generation market.