Reported

Reliant reported its #1 unit at the Amber Compressor Station(Grady County, OK) has gone down with mechanical problems and itcan not estimate the outage’s duration. Until further notice Westof Amber capacity is limited to 360,000 Dth/d.

Forcenergy Inc. reported a blowout yesterday on an exploratorywell at West Cameron Block 317, located 65 miles south of LakeCharles, LA, in the Gulf of Mexico. The blowout occurred duringcompletion operations, but it has not ignited. All personnel havebeen safely evacuated from the Marine Drilling Rig No. 4.Forcenergy has notified all of the proper governmental authoritiesand is cooperating fully with each respective agency.

Despite notching new annual volume records for the fifth consecutive year since NGI started ranking gas marketers, the pace of volume growth among the top 20 North American gas and power marketers has shown some signs of decline.

Northwest reported experiencing a failure of the Unit #4compressor at its Soda Springs (ID) Station Wednesday morning dueto damaged rings and cylinders. Cause of the damage is beinginvestigated. Northwest said it was able to maintain scheduledquantities that day, but starting today capacity through SodaSprings will be limited to 445,000 Dth/d. This will not require anycuts in Primary Firm nominations, the pipeline said. It estimatedthe compressor will be back in service March 2.

Northwest reported that since mid-January it has been receiving”unprecedented levels” of liquid hydrocarbons from QuestarPipeline’s Clay Basin storage facility, “culminating in a criticalhigh of 21,000 gallons on Feb. 5.” Northwest has collected thecondensate at its Green River (WY) Compressor Station, but thefilter-separator system there was designed to collect only minimalamounts. Since last Monday, Northwest said, it has physicallytaken approximately 100,000 Dth/d from Clay Basin and was making upthe shortfall by withdrawing gas from Jackson Prairie. Northwestassured shippers it is working with Questar to keep Clay Basinnominations whole, but cautioned that at some point it may berequired “by prudent operations” to refuse gas nominated from ClayBasin.Northwest will provide 24 hours’ notice in such an event,but said Friday there would be no refusals over the weekend.Shippers can help ease the situation by voluntarily reducing ClayBasin nominations to whatever extent possible, Northwest said.

Tennessee reported Wednesday the discovery of a small leak nearMain Line Valve 46 on the 100 Line #1 about 15 miles southwest ofWest Monroe, LA. Repairs are expected to take two days, duringwhich meters upstream of Station 47 (West Monroe) may berestricted, Tennessee said.

Directed by strong gas, power and liquids operations, DynegyInc. reported yesterday a 56% increase in 4Q99 net income to $45.1million and a 50% increase in 1999 recurring net income to $146.1million. In addition to that good news, the Houston-based companyalso said its merger with Illinova Corp., should be complete byearly February.

Sempra Energy reported increased 1999 earnings of $394 million,or $1.66 per diluted share, up 34% from 1998 but the company islooking to further accelerate earnings growth and enhance itscompetitive position. It announced a dividend reduction to $0.25per share from its previous level of $0.39 per share and said itplans to hold a Dutch auction in which it will purchase up to 36million shares, or 15% of its outstanding common stock, at asingle, per-share price within a price range of $17.50 to $20. Theprice is a premium to its closing price on Jan. 25.

Tennessee reported Tuesday it had identified a minor valve leakon its 200 Line #2 near Main Line Valve 259 (West Granville, MA).Adverse weather is preventing repairs temporarily, Tennessee said,but it expects to make them Thursday. No nominations or schedulingcuts are anticipated before repairs begin, the pipeline said, butit may be required to limit meters downstream of Station 254 toprimary services for Thursday’s gas day.