Enron Mail

From:lorna.brennan@enron.com
To:julie.mccoy@enron.com, steve.klimesh@enron.com, gary.sova@enron.com,rob.wilson@enron.com, lon.stanton@enron.com, david.marye@enron.com, courtney.barker@enron.com, sarabeth.smith@enron.com, keith.petersen@enron.com, michele.winckowski@enron.com, donn
Subject:Viking Settlement with ANR on OFO at Marshfield
Cc:
Bcc:
Date:Thu, 30 Nov 2000 10:21:00 -0800 (PST)

The FERC has issued an Order Accepting the Letter Agreement between Viking
and ANR to settle the issue of OFO status at the Marshfield interconnect
between the two pipes.

The following is a quick synopsis:

Settlement is effective through March 31, 2001 only.

The following steps will be undertaken in the event ANR is experiencing
flowing volumes at Marshfield less than 200 Mdth/d and, in ANR's good faith
reasonable judgment, such shortfall will threaten the operational integrity
of its pipe in Western Wisconsin. Also, ANR first has to maximize flowing
volumes of 86 Mdth/d at NNG-Janesville and 735 Mdth/d at Great Lakes -Crystal
Falls.

ANR will issue an OFO to the ANR shippers with firm primary receipt pt
capacity at Viking-Marshfield directing their shippers to schedule their gas
on ANR at Marshfield.
If any shipper does not comply with the OFO, ANR will notify Viking of the
shipper, default volume, and upstream Viking shipper holding primary delivery
pt capacity at Marshfield on Viking who is supposed to be supplying the gas.
Viking will then notify the defaulting shipper on their system that they will
only accept firm primary delivery pt nominations at Marshfield for the volume
designated by ANR until ANR notifies Viking that the OFO condition has ended.
If the Viking shipper does not comply by taking their gas to Marshfield as
requested by Viking, Viking will permit ANR to act as shipper's agent and
nominate for them.

It was noted that ANR will not be a shipper on Viking or hold title to gas
transported on Viking.

This letter agreement resolves temporarily ANR's request for 33 Mdth/d of
capacity on Viking they filed on June 19, 2000 in Docket CP00-391-000.

Additional Notes:

The ANR shippers with firm primary receipt pt capacity at Marshfield are:
Mich Con, UtiliCorp, Wisonsin Electric, Wisconsin Fuel & Light, and Wisconsin
Public Service.

The Viking shippers with firm primary delivery pt capacity at Marshfield
are: The same shippers as above as well as Engage Energy.