Owner

El Paso Corp., owner of the largest U.S. natural gas pipeline system, on Wednesday reported an unexpectedly large net loss for the second quarter as a result of a series of write-offs tied to discontinued operations, asset impairments and the western energy settlement that it says are intended to turn the financially strapped company around.

One day after a rival project was announced, Enbridge Inc., part owner of Alliance and Vector pipelines, reported that it is considering constructing the Beacon Pipeline — a 1 Bcf/d pipeline from the Rockies to Chicago. The proposed $1.2 billion, 900-mile pipeline, which was first announced in rough draft form in late June, would come from either the Powder River Basin or Cheyenne, WY to Chicago with a possible northwest extension back to Opal (see Daily GPI, June 27).

New York City utility owner Consolidated Edison Inc. saw first quarter earnings fall 6.9% after one of the warmest winters in the Northeast on record coupled with weak economic conditions. Net income was $166.6 million ($0.78 a share), compared with earnings of $179.1 million ( $0.84) for the first quarter of 2001. Analysts had expected quarterly earnings of 80 cents. Revenue also fell, dropping 27% to $2.1 billion from $2.89 billion for the same period a year ago.

The shareholders of the NYMEX Holdings Inc., and the New York Mercantile Exchange elected by a margin of 476 to 115 Pioneer Futures owner Vincent Viola as the new chairman of the board. Gordon Rutledge, Madeline Boyd, Gary Rizzi, J. Robert Collins, Kenneth Garland, Robert Steele and Harley Lippman also were elected to the board. In addition, a resolution was passed to add three equity holder representative positions to the board. An election for these positions will be scheduled shortly. Viola was vice chairman of the exchange from 1993 to 1996. Pioneer is currently a clearing member of both divisions of Nymex and the New York Board of Trade. Viola also served on the exchange board in the at-large category from 1987 to 1990. He is a graduate of the U.S. Military Academy at West Point and the New York Law School. In 1988, he formed the First Bank Group, which operates community banks in Dallas and the surrounding area. In 1998, he formed MV Technologies, a developer of fully integrated electronic platforms for trading futures, options, equities, and derivatives.

Kinder Morgan Energy Partners LP (KMP), owner and operator ofone of the largest product pipeline systems in the country,reported on Thursday that it expects to substantially exceed theconsensus first quarter earnings per unit estimate of $0.71 andyear 2001 earnings per unit estimate of $2.98. The company alsosaid it expects to increase the cash distribution per common unitfor the first quarter from $0.95 to $1.00.

The shareholders of the NYMEX Holdings Inc., and the New YorkMercantile Exchange elected by a margin of 476 to 115 PioneerFutures owner Vincent Viola as the new chairman of the board.Gordon Rutledge, Madeline Boyd, Gary Rizzi, J. Robert Collins,Kenneth Garland, Robert Steele and Harley Lippman also were electedto the board. In addition, a resolution was passed to add threeequity holder representative positions to the board. An electionfor these positions will be scheduled shortly. Viola was vicechairman of the exchange from 1993 to 1996. Pioneer is currently aclearing member of both divisions of Nymex and the New York Boardof Trade. Viola also served on the exchange board in the at-largecategory from 1987 to 1990. He is a graduate of the U.S. MilitaryAcademy at West Point and the New York Law School. In 1988, heformed the First Bank Group, which operates community banks inDallas and the surrounding area. In 1998, he formed MVTechnologies, a developer of fully integrated electronic platformsfor trading futures, options, equities, and derivatives.

Transco notified shippers Monday that the North Terrebonne GasProcessing Plant in South Louisiana resumed processing committedplant owner and third-party gas production as of Thursday. Theplant had suspended operations Jan. 1, a Transco spokesman said.

Amid the crush of proposals to join or create regionaltransmission organizations (RTOs) filed Monday, the owner andoperator of an electric cooperative system in Alabama urged FERC tofocus its attention on the RTO filings for the Southeast, sayingthey lack genuine regional participation.

Cinergy Corp., the owner of Cincinnati Gas & Electric(CG&E), experienced a corporate makeover recently as it soldits nonregulated retail gas marketing unit, Cinergy Resources, toan integrated energy services cooperative called The EnergyCooperative (TEC) for an undisclosed sum and set plans in motion tocut its corporate center staff by more than 50%.