Pacific

CPUC Slaps PG&E with $1.68M Fine

In an attempt to deter other utilities in the state, Californiaregulators Nov. 5 slapped a $1.68 million fine on Pacific Gas andElectric Co. for allowing an unregulated energy services affiliateto violate newly created state rules earlier this year governingthe use of the parent company name and logo. The PG&ampE utilitycompany expressed disappointment and vowed to appeal the decision,which requires the penalty be paid out of shareholder funds.

November 9, 1998

Remington Buys 10 Gulf Blocks From UPR

Remington Oil and Gas Corp. acquired interests in 10 Gulf ofMexico offshore blocks from Union Pacific Resources (UPR). Seven ofthe blocks are producing, one is anticipated to come on productionbefore year-end, and two are undeveloped. The blocks are on theoffshore Louisiana and Texas shelf in water depths less than 400feet. Interests vary from 5% to 100%, with all of the producingproperties being non-operated. The effective date of thetransaction is Sept. 1 with an anticipated closing prior toyear-end. Unaudited reserves for the blocks are about 7 BCFe with apurchase price of $7.65 million.

November 2, 1998

Price Squeeze Sets Back Independents

Results of Burlington Resources, Apache Corp., Vastar Resources,and Union Pacific Resources began the tale of woe that independentproducers’ will be telling with their third quarter earnings. Thecompanies cited a common cause for their malaise – depressed gasand oil prices and liquids margins that are at historic lows.

October 26, 1998

Proposed Deal to Restructure PITCO is Imminent

A proposed settlement that calls for the restructuring of thetransportation and sales arrangements of Pacific InterstateTransmission (PITCO) is close at hand and could be filed at FERC assoon as today, says an official involved in the negotiations.

September 23, 1998

PG&E May Face Stiffer Fine for Affiliate Violations

State regulators decided yesterday to perhaps up the ante inconsidering penalties against Pacific Gas and Electric Co. foralleged rules violations in advertising and promotion materials bysome of its unregulated energy affiliate companies.

September 18, 1998

UPR Racking Up Property Sales

The Australian-owned oil and gas company, Chancellor Group, saysit has signed a letter of intent to acquire from Union PacificResources a half-interest in the Deadwood Field in East Texas for$35 million. The announcement comes on the heels of one made lastFriday by UPR that it had agreed to sell its interests in certainSouth Texas oil and gas properties to Collins & Ware Inc. for$148 million.

September 15, 1998

Futures Add to Last Week’s Losses

The Australian-owned oil and gas company, Chancellor Group, saysit has signed a letter of intent to acquire from Union PacificResources a half-interest in the Deadwood Field in East Texas for$35 million. The announcement comes on the heels of one made lastFriday by UPR that it had agreed to sell its interests in certainSouth Texas oil and gas properties to Collins & Ware Inc. for$148 million.

September 15, 1998

UPR Makes Another De-Leveraging Sale

Union Pacific Resources Group (UPR) continues to march aheadwith its de-leveraging program, announcing last week that it agreedto sell interests in certain South Texas oil and gas properties toCollins &amp Ware Inc. for $148 million. The sale is scheduled toclose Oct. 30, subject to conditions, with an effective date ofSept. 1.

September 14, 1998

PG&E GT-NW Authorized to Eliminate Stanfield Bottleneck

FERC has approved a $6 million expansion of Pacific GasTransmission Northwest’s (PG&E GT-NW) system that will increasecapacity between Kingsgate, BC, and Stanfield, OR, by 56,000 Dth/dand provide additional systemwide winter capacity of 20,000 Dth/d.

September 4, 1998

California Fries, Hits Power Highs

Triple-digit temperatures throughout much of California inlandfrom the Pacific Coast spurred record energy demand, promptingstate and utility officials to call for voluntary cutbacks inelectricity usage on the eve of the Labor Day holiday weekend.Collectively, August turned out to be California’s hottest ever,further testing the reliability of the new power system in thestate.As Southern California Edison, San Diego Gas and Electricand the nation’s largest municipal utility, the City of Los AngelesDepartment of Water and Power, all registered record power demandMonday, a corresponding record for natural gas delivered toelectric generating plants was marked at Southern California Gas,which transports supplies to all three electric utilities. Gassupplies for power generation equaled 1.92 Bcf/d on Monday,surpassing a one-day record set Aug. 11, 1994 (1.877 Bcf), and aspokesperson for SoCalGas said with the prediction of more hotweather later in the week, “there is a chance we will surpass thenew record.”

September 2, 1998