FW: FERC Re-Opens Cove Point Approval F/y/i-- See article below -- It looks like there may be a shortage of terminal capacity (and some surplus LNG supply) for awhile. Dan Rogers  -----Original Message----- From: 	"Weems, Philip" @ENRON   Sent:	Monday, November 12, 2001 1:44 PM To:	Rogers, Daniel R. Subject:	FW: FERC Re-Opens Cove Point Approval > Monday November 12, 1:46 pm Eastern Time > U.S. to reconsider LNG plant due to security fears > WASHINGTON, Nov 12 (Reuters) - Due to national security concerns, the > Federal Energy Regulatory Commission said it will reconsider its decision > last month to approve the restart of a liquefied natural gas plant near > the Calvert Cliffs nuclear power plant in southern Maryland. > > The Williams Cos won FERC's approval on Oct. 12 to re-open and expand the > company's Cove Point liquefied natural gas (LNG) plant, despite concerns > that the facility could be subject to sabotage that would threaten a > nearby nuclear plant owned by Constellation Energy Group. > In an order issued on Friday, FERC said it would be ``in the public > interest to reconsider'' the agency's reactivation decision and hold a > technical conference ``to take further evidence with respect to national > security implications'' connected with restarting the plant. > An LNG facility in Boston had been closed by state officials following the > Sept. 11 attacks on the World Trade Center and the Pentagon. Officials > feared an LNG tanker entering Boston harbor could be subject to sabotage, > causing massive damage. > Williams wants to resume LNG shipments to the Cove Point plant during the > second quarter of 2002. The company also plans to build a fifth storage > tank at the site that could hold up to 2.5 billion cubic feet of gas. > The Cove Point plant, built in 1974, was bought by Williams last year from > Columbia Energy Group for $150 million. The plant stopped importing > natural gas in the early 1980s, but reopened as a natural gas storage site > about 10 years later. > State, local and federal officials with have been asked to participate in > the FERC conference, which will take place at the agency's headquarters on > Nov. 16. > ``In view of the nature of the national security issues to be explored, > the conference will not be open to the pubic,'' FERC said. > LNG is kept at ultra-cold temperatures and compressed for transport aboard > special tankers. > It begins as natural gas in a vapor form. The manufacturing process cools > the gas to minus-259 degrees Fahrenheit, changing the gas into a liquid > and shrinking it to less than 1/600th of its original size. > LNG, which is odorless and colorless, is then loaded into tankers and > shipped to markets where it is converted back into dry gas for electric > power generation or another use as a fuel source.  LNG facilities are also > located in Massachusetts, Louisiana and Georgia. > > > > >                     Confidentiality Notice This message is being sent by or on behalf of a lawyer.  It is intended exclusively for the individual or entity to which it is addressed.  This communication may contain information that is proprietary, privileged or confidential or otherwise legally exempt from disclosure.  If you are not the named addressee, you are not authorized to read, print, retain, copy or disseminate this message or any part of it.  If you have received this message in error, please notify the sender immediately by e-mail and delete all copies of the message.