Sent

El Paso sent out a request this week for potential shippers onits proposed Yuma Lateral to get their plans in order. The project,which will serve new gas-fired power generation in Sonora and BajaCalifornia, Mexico, includes a broad range of possibilities interms of size and location.

Daniel M. Adamson, director of the office of energy projects atthe Federal Energy Regulatory Commission, sent a letter to ColumbiaEnergy’s David Pentzein this week requesting a status report on the$650 million Millennium Pipeline project in light of all the recentcriticism from New York regulators and the impact of theColumbia-NiSource merger. The 442-mile project would bring about714 MMcf/d of gas from Canada under Lake Erie to the New Yorkmetropolitan area.

TriState Pipeline notified FERC earlier this week that it willnot pursue further application efforts to build its proposed 650MMcf/d pipeline between Chicago, IL, and Dawn, ON. The notificationletter put an end to a troubled project that had once hoped todirectly compete with the Vector Pipeline.

Columbia Energy Group sent Enron home with leftovers last weekin the form of a wholesale marketing and trading operation thatColumbia has been attempting to unload since August.

Canada’s National Energy Board has sent a message toparticipants in the international natural gas trade: Stay cool andgreet predictions of Canadian supply shortages with healthyskepticism.

Canada’s National Energy Board has sent a message toparticipants in the international natural gas trade: Stay cool andgreet predictions of Canadian supply shortages with healthyskepticism.

Columbia shareholders have sent a “resounding message” to theColumbia board to sit down and negotiate a merger deal withNiSource. More than 60% (49,638,497) of CG common shares had beentendered in response to NiSource’s $68/share offer ($5.7 billion)as of last Friday and NiSource extended the deadline of the tenderoffer to Oct. 15.

FERC sent one major Midwest-to-Northeast pipeline project backto the drawing board last week but gave another competing project afinal green light. The $447 million Vector Pipeline emergedvictorious, receiving FERC’s final approval and a presidentialpermit in a draft order, while the $400 million TriState Pipelinewas told it must redesign the pipeline-lease portion of itsproposal to get FERC’s rubber stamp.

The Colorado Senate last week approved and sent on to the Housea bill to deregulate retail gas distribution in the state. Thebill’s sponsor, Sen. David Owen, R-Greeley, said he expects thelegislation (SB 99-153) to pass this year.