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After power price spikes, contract defaults and costly supplydeals cost Cinergy $73 million in July, the company said it wasseriously considering quiting the supply business altogether. (SeeDaily GPI, Aug. 9, Aug. 11, and Aug.13) But CEO James E. Rogerssaid yesterday the company’s board of directors has unanimouslydecided Cinergy should stick with it as the industry moves to acompetitive environment.

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.

Wild speculation last week that Chevron was courting Phillips Petroleum proved to be false as Phillips management told analysts the company is not interested in marriage. The Bartlesville, OK-based major producer is, however, interested in selling GPM Gas Corp., its natural-gas gathering, processing and marketing subsidiary, and may form joint ventures with other companies on chemicals and refining and marketing so that it can concentrate mainly on exploration and production.

Wild speculation last week that Chevron was courting PhillipsPetroleum proved to be false as Phillips management told analyststhe company is not interested in merging with anybody. But theBartlesville, OK-based energy company is planning on selling GPMGas Corp., its natural-gas gathering, processing and marketingsubsidiary, and may form joint ventures with other companies onchemicals and refining and marketing so that it can concentratemainly on exploration and production.

Costilla Energy Inc. of Midland, TX, got another reprieve on itsdebt repayment when its bank credit facility was amended providingfor an extension of the $10.2 million principal payment until June18. The payment was due yesterday after a previous extension. Theindependent oil and gas company is in the process of divesting itsRocky Mountain oil and gas properties.

Acting in concert with a stay issued by the Interior Department’s Office of Hearings and Appeals, the Federal Energy Regulatory Commission has ordered Southern Natural Gas to stop its recently-begun construction work in a wildlife preserve along its mainline expansion route into northern Alabama.

Acting in concert with a stay issued by the InteriorDepartment’s Office of Hearings and Appeals, the Federal EnergyRegulatory Commission has ordered Southern Natural Gas to stop itsrecently-begun construction work in a wildlife preserve along itsmainline expansion route into northern Alabama.

With regulatory changes and greater competition increasingpressure on gas utilities to stay competitive with their gaspurchases, the last thing they need is another warm winter toconfuse their gas purchasing and storage plans. NGC Corp. isoffering several new financial products utilities and largeendusers may find useful in reducing exposure to unpredictableweather and volatile market conditions.