![](media/image1.jpeg){width="8.5in"
height="3.5027777777777778in"}**U.S. DEPARTMENT OF ENERGY**

**Office of Energy Assurance**

**ENERGY ASSURANCE DAILY**

**September 30, 2004**

**Highlights/Major Developments**

**Hurricane Jeanne Information**

• Currently, five percent or 435,800 remain without power due to
Hurricane Jeanne. At peak, 3,460,603 customers were impacted. See tables
below for county outages and restoration schedules.

• All customers who are able to accept service as a result of Hurricane
Ivan have now been restored. Gulf Power estimates that 10,753 customers
in Escambia County and 5,097 customers in Santa Rosa County who
currently are unable to accept service due to damage to the customer's
home or structure. In most cases, it appears that the customer may have
to make repairs before service can be restored.

<http://www.ea.doe.gov/hurricane_jeanne.html>

Links to status reports of damage and restoration efforts put out by the
major utilities and cooperatives affected by Hurricane Jeanne are listed
below. The information reported in the Energy Assurance Daily above does
not come from press reports, but comes from information collected from
the Florida State Emergency Operations Center and by other Federal,
State and local officials monitoring and coordinating response and
restoration efforts. []{.mark}

**Florida Power and Light and Hurricane Jeanne Recovery**
<http://www.fpl.com/>

**Progress Energy Continues Restoration Process**
<http://www.progress-energy.com/aboutenergy/stormcentral/index.asp>

**Progress Energy's Power Outage Map** (Click on link below.) [View
Florida outage map by
county](http://www.progress-energy.com/aboutenergy/stormcentral/outagemaps/flaindex.asp)

**Tampa Electric Storm Information** <http://www.tampaelectric.com/>

**Clay Electric Cooperative** <http://clayelectric.com/>

**Sumter Electric Cooperative** <http://www.sumter-electric.com/>

**Central Florida Electric Cooperative** <http://www.cfec.com/>

**Withlacoochee River Electric Cooperative** <http://www.wrec.net/>

**Puerto Ricans Ask Why All Power Shutdown Prior to Tropical Storm
Jeanne**
<http://pro.energycentral.com/professional/news/power/news_article.cfm?id=5151938>

**Electricity**

**Limerick 2 Nuclear Plant at 80% During Repair, Company Says**
Excelon's 1,155 MW Limerick 2 nuclear unit was up to 80% power. Power
had dropped to perform unplanned repairs to a feed-water heater.
Bloomberg News, 1131 September 30, 2004

**Reliant Energy Celebrates Seward Power Plant Dedication**\
Ushering in a new era of clean-coal technology, Reliant Energy was
joined today by federal, state and local officials in dedicating the
company\'s new 521-megawatt Seward Power Plant. The Seward plant,
located 80 miles east of Pittsburgh near Johnstown, Pennsylvania, was
recently named 2004 Plant of the Year by Platts\' POWER magazine. It is
the largest waste coal-fired generating plant in the world and the only
merchant plant of its kind in the U.S. It was constructed on the site of
an 82-year-old, coal-fired power plant that was retired at the end of
2003. The new facility produces two and one-half times as much
electricity as the plant it replaces, while significantly lowering
emissions rates. Another significant and unique benefit of the Seward
plant is its fuel source. The plant uses low-grade refuse from coal
mining, which is abundant in Western Pennsylvania, for fuel. Removing
this waste coal improves the environment and eliminates a significant
source of acid mine discharge from the local watershed. In all, more
than 100 million tons of waste coal will be removed from the landscape
during the life of the plant. Even the ash produced at Seward is used in
a beneficial manner. This alkaline by-product is transported to waste
coal sites in the area to help neutralize acids that remain in the soil.
<http://biz.yahoo.com/prnews/040930/dath019_1.html>

**AEP Prepared for Oct. 1 Integration Into PJM Interconnection RTO**

American Electric Power and PJM Interconnection, a regional transmission
organization (RTO) based in Valley Forge, Pa., are finalizing
preparations for PJM to assume functional control of AEP\'s eastern
transmission grid of nearly 22,300 transmission miles.
[*http://www.energycentral.com/centers/news/daily/article.cfm?aid=5154452*](http://www.energycentral.com/centers/news/daily/article.cfm?aid=5154452)

**Petroleum**

**29% of Oil Production from Gulf of Mexico is Still Shut-in Two Weeks
After Ivan** Restoration of the oil production shut in due to Hurricane
Ivan is progressing at a very slow pace. The amount shut in has remained
about the same for the past two days.
<http://www.mms.gov/ooc/press/2004/press0930a.htm>

**ChevronTexaco, BP, Shell Wells in Gulf Remain Shut** ChevronTexaco
Corp. and BP Plc said some oil wells shut in the Gulf of Mexico because
of Hurricane Ivan will remain closed for weeks. Some Royal Dutch/Shell
Group wells won\'t resume production until the end of the year.
Bloomberg News, 1508 September 30, 2004

[**Trick Or Treat: Russia Plans October Export
Boost**](http://www.energyintel.com/DocumentDetail.asp?document_id=131882)\
Russia is planning a hefty 123,000 barrels a day boost in its October
seaborne crude exports from the previous month, and potentially even
more. Nefte Compass, September 30, 2004

**Natural Gas**

# About 19% of Daily Production of Natural Gas in Gulf of Mexico is Still Shut-in

Restoration of the gas production shut in due to Hurricane Ivan is
progressing at a very slow pace. The amount shut in has remained about
the same for the past two days.
<http://www.mms.gov/ooc/press/2004/press0930a.htm>

# US EIA-Lost Crude Output from Ivan to Top \'02 Loss

Lost crude oil production in the Gulf of Mexico due to Hurricane Ivan is
expected to exceed production lost from hurricanes in 2002, the last
time storms seriously affected oil and gas operations in the gulf,
government analysts said on Thursday. In three more days, at the current
rate of shut production, this year\'s lost output will be more than was
lost in 2002, when hurricanes Isidore and Lili diminished production,
according to Doug MacIntyre and Gary Long of the U.S. Energy Information
Administration. On Thursday, ChevronTexaco Corp. said that it was still
not producing 28 percent of its Gulf of Mexico production. It\'s total
production was not given. Shell Oil Co. said that three of its 16
platform complexes in the Gulf were shut on Thursday, with two of them
not to return until the end of the year and one to return to production
in mid-October. Shell Oil is the U.S. subsidiary of Royal/Dutch Shell.
Reuters, 1528, September 30, 2004.

# Shell Pulls More Workers Out of Nigerian Oil Delta

Royal Dutch/Shell Group has pulled another 73 workers out of Nigeria\'s
oil-producing delta area despite a truce between rebels and the
government, the company said on Thursday. But it said its oil production
was unaffected by the withdrawal.

Reuters, 0707, September 30, 2004.

# BP to Restart Destin Pipeline in Gulf of Mexico After Ivan

BP Plc said it will begin shipping natural gas today on a pipeline
system which can carry up to 1.2

billion cubic feet daily from the Gulf of Mexico after the system was
shut because of damage from Hurricane Ivan.

Bloomberg News, 1541 September 30, 2004

[**LNG developer gets cool reception at town
meeting**](http://www.projo.com/eastbay/content/projo_20040930_bllng30.2ebff4.html)\
The head of one of the companies behind a natural gas terminal proposed
for Fall River came to town last night to hear residents\' opinions
about the controversial project. Providence Journal, September 30, 2004

[**Chamber directors unanimously oppose member\'s LNG
plan**](http://www.projo.com/massachusetts/content/projo_20040929_fr29lng.2862eb.html)\
Eight months of information-gathering have led the Fall River area\'s
Chamber of Commerce to reject a member\'s business proposal and announce
its strong opposition to plans for a new port facility where tankers
would deliver liquefied natural gas.

Providence Journal, September 29, 2004

**Other News**

**Horizon Gets Quick Hearing, Threatens to Shut All of its Coal Mines**

Horizon Natural Resources, saying it doesn't have enough money or
insurance coverage to keep its remaining mines open beyond (Sept. 30),
asked a U.S. District Court on Wednesday to either dismiss the courts
Sept. 28 stay that halts the sale of its mines or in the alternative,
allow a quick

Wednesday hearing on that stay. The company did not get either of those
options; rather, the judge said he would hear the requests today. These
mine shutdowns, if they happen, would leave dozens of Horizon customers
without fresh coal, throwing a huge crimp into an already tight supply

situation in Central Appalachia and the Illinois Basin.
[http://www.platts.com/Coal/News/1405332.xml?p=Coal/News&S=n#](http://www.platts.com/Coal/News/1405332.xml?p=Coal/News&S=n)

**Energy Prices**

+-------------------------------+-----------+-----------+------------+
|                               | **Latest  | **Week    | **Year     |
|                               | (9        | Ago**     | Ago**      |
|                               | /30/04)** |           |            |
+-------------------------------+-----------+-----------+------------+
| **CRUDE OIL**                 | 49.56     | 48.37     | 29.19      |
|                               |           |           |            |
| **West Texas Intermediate     |           |           |            |
| US**                          |           |           |            |
|                               |           |           |            |
| \$/Barrel                     |           |           |            |
+-------------------------------+-----------+-----------+------------+
| **NATURAL GAS**               | 6.36      | 5.58      | 4.66       |
|                               |           |           |            |
| **Henry Hub**                 |           |           |            |
|                               |           |           |            |
| \$/Million Btu                |           |           |            |
+-------------------------------+-----------+-----------+------------+

> Source: Reuters

**This Week in Petroleum** from the Energy Information Administration
(EIA)

[*http://tonto.eia.doe.gov/oog/info/twip/twip.asp*](http://tonto.eia.doe.gov/oog/info/twip/twip.asp)

Updated on Wednesdays

**Weekly Petroleum Status Report** from EIA**\
**[*http://www.eia.doe.gov/oil_gas/petroleum/data_publications/weekly_petroleum_status_report/wpsr.html*](http://www.eia.doe.gov/oil_gas/petroleum/data_publications/weekly_petroleum_status_report/wpsr.html)

Updated after 1:00pm (Eastern time) on Wednesdays

**Natural Gas Weekly Update** from EIA

[*http://tonto.eia.doe.gov/oog/info/ngw/ngupdate.asp*](http://tonto.eia.doe.gov/oog/info/ngw/ngupdate.asp)

Updated after 2:00 pm (Eastern time) on Thursdays