Position

Southern California Edison’s current precarious financial position would have been avoided if federal and state regulators had done their jobs, an Edison regulatory attorney told a congressional committee in San Jose on Wednesday in the second day of a three-day sweep through California. The hearings by the House Government Reform Committee conclude in San Diego today.

The Senate last week approved former Colorado Attorney GeneralGale Norton to the cabinet position of Secretary of the Interior,and tapped New Jersey Gov. Christine Todd Whitman to head up theU.S. Environmental Protection Agency (EPA).

Northern Border Partners LP announced plans yesterday toincrease its position in the Powder River Basin with the purchaseof gas gatherer Bear Paw Energy LLC for $370 million from aconsortium of investors led by Bear Paw Energy Management and J.P.Morgan Partners.

BP further has cemented its position as the top natural gasproducer in North America by acquiring the outstanding minorityinterest in Houston-based independent producer Vastar ResourcesInc.

BP further cemented its position as the top natural gas producerin North America last week when it acquired the outstandingminority interest in Houston-based independent producer VastarResources Inc.

Robert Ray took on a new position with Dynegy Inc. yesterday.The nine-year company veteran was named vice president of StrategicInvestments, a job which entails strategic planning, valuation ofcorporate mergers and acquisitions, as well as the company’sinvestment in other business opportunities. Ray has held a numberof positions within Dynegy, most recently the title of vicepresident of Corporate Finance.

It is a trader’s rule of thumb not to go home for a long holidayweekend with a large long or short position because of thepotential for fundamental or political forces to produce a severeprice move when the market reopens. Yesterday’s energy complex wasa textbook example of this rule.

Commodity prices are up, and the financial performance of anumber of energy companies is on the rise. The question being askedthis week in Houston is why are Wall Streeters treating energycompany stocks like ugly stepchildren?

Newfield Exploration Co. said it would buy interests inproducing gas assets in south Texas from an undisclosed seller for$142 million. The producing gas fields are located in Hidalgo,Brooks and Kenedy counties. The effective date of the transactionis Jan. 1, 2000 and the deal is expected to close in late February.