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

**Office of Energy Assurance**

**ENERGY ASSURANCE DAILY**

**November 10, 2004**

**Electricity**

**Duke SC Catawba 2 Nuke unit Cut to 9 Percent Power**

Duke Energy Corp.\'s 1,129-megawatt Catawba 2 nuclear unit in South
Carolina was manually shut at about 9 p.m. last night to repair a
hydraulic fluid leak. \`\`We expect the unit to be back online
soon,\'\'\
Bloomberg News, 0848 November 10, 2004

Reuters, 0703 November 10, 2004

**Cooper 764-MW Nuclear Reactor in Nebraska Nears Full Power**

Nebraska Public Power District\'s 764-megawatt Cooper nuclear plant was
operating at 90 percent of capacity this morning, up from 56 percent
yesterday. \`\`We expect to be at full power later today,\'\' said
Jeanne Schieffer, a spokeswoman for the state-owned utility based in
Columbus. The plant\'s lone reactor began returning to service Nov. 7
after being shut Oct. 18 to repair a turbine blade.\
Bloomberg News, 0855 November 10, 2004

**New Report Refuels Debate on Wind Farm in Nantucket Sound in
Massachusetts\
**As the federal government begins a 60-day public comment period today
before it can make a final decision on the proposed wind farm in
Nantucket Sound, the project\'s chief opponent says the government
should allow more time for public response to a crucial 4,000-page
report that appears to pave the way for the wind farm\'s approval. The
new draft environmental impact report, prepared over three years by the
Army Corps of Engineers, will be released in full today, but supporters
and opponents responded to details that became public yesterday morning.
The findings are largely favorable to the project, suggesting that the
130 turbines proposed to be built off Cape Cod would have little or no
negative effect on the surrounding air, sea, and animal life. The draft
gives the first public look at the federal government\'s stance on the
460- megawatt power plant.\
The Boston Globe, November 9, 2004

**Schneider Power Begins Wind Farm Construction\
**Canadian Wind Power Developer Schneider Power Inc. announced today
that it will commence with the construction of the Providence Bay Wind
Farm on Manitoulin Island in spring of 2005 with commissioning of the
first turbine expected by late September. Providence Bay is being built
independent of the Government of Ontario\'s 300MW RFP and is the first
large-scale wind power project to be built in five years.\
[www.schneiderpower.com](http://www.schneiderpower.com/)

**Ontario, Canada Brighton Beach Power Plant Shut**\
Reuters, 1015 November 10, 2004

**OPG's Ontario, Canada Lennox 1 Power Plant Shut**\
Reuters, 0946 November 10, 2004

**Petroleum**

**Hurricane Ivan Oil Production Shut-in Statistics**\
Shut-in oil production is equivalent to 12.06% of daily production of
oil in GOM, which is approximately 1.7 million BOPD. The 205,054 barrels
per day that is currently shut-in is approximately 1.04% of the 19.7
million barrels consumed in the U.S. each day. The cumulative shut-in
oil production for the period 9/11/04-11/10/04 is 28,907,069 bbls, which
is equivalent to 4.778% of the yearly production of oil in the GOM which
is approximately 605 million barrels.
<http://www.mms.gov/ooc/press/2004/press1110.htm>

**Crude Oil Freight Rates Hit New 30-year High**\
Reuters, 0847 November 10, 2004

**Oil Rises Most in 8 Weeks on Concern Over Low Fuel Supplies\
**Crude oil rose more than 3 percent, the biggest increase in eight
weeks, as a decline in U.S. heating-oil inventories spurred concern that
supplies of the fuel may be inadequate for winter.\
Bloomberg News, 1528 November 10, 2004

# Two Killed after Crew Hits Oil Pipeline

A construction crew struck an underground petroleum pipeline Tuesday,
sparking an explosion and fire that killed at least two people, burned
several nearby buildings and shot flames high in the air. The explosion
occurred in a residential area within sight of downtown Walnut Creek, a
suburb about 25 miles east of San Francisco, and a few blocks from a
high school, which was evacuated as a precaution. The subsequent fire
spread to a nearby home, which sustained major damage, and three
apartment buildings. No one inside any of the buildings was injured. As
many as 270 homes or businesses were evacuated or cautioned about the
incident, Mailer said. The ruptured pipeline is owned and operated by
Kinder Moorage Energy Partners, a Houston-based distributor of refined
petroleum products. It carries gasoline, diesel and jet fuel from
Concord to San Jose. It was shut down, said Larry Pierce, a company
spokesman. The outage on the 10-inch pipeline will not cause fuel
shortages according to Kinder Morgan, since the company will ship fuel
by truck or alternate pipelines until repairs are completed.
<http://www.cnn.com/2004/US/11/10/california.explosion.ap/index.html>\
Bloomberg News, November 10, 2004

**Midwest Drilling Activity for Oil, Natural Gas is Outpacing Supply of
Rigs**

Increased demand and the fear of shortages has helped propel oil and
natural gas prices to record highs, which in turn have led to a level of
drilling activity unseen in more than two decades. But just as with the
commodity itself, oil and natural gas drilling rigs have been unable to
keep up with rising demand. The result has been delays of as much as six
months before drilling can begin on some sites, particularly for some of
the state\'s smaller oil and gas operators. Oklahoma City-based Cleary
Petroleum Corp. has five wells ready to be drilled, but no rigs are
available.

<http://www.newsok.com/article/1358453/>

# Los Angeles Spot Jet Fuel Spikes 8 Cents -- Traders

Reuters, 1420 November 10, 2004

# 

# Secretary of Energy Abraham Sees Congress Backing Alaskan Oil Drilling

Reuters, 1345 November 10, 2004

# 

**Venezuela Makes "Important" Oil Find \-- PDVSA Chief**

Reuters, 1538 November 10, 2004

# Natural Gas

**Hurricane Ivan Natural Gas Production Shut-in Statistics\
**Shut-in gas production is equivalent to 5.63% of the daily production
of gas in the GOM, which is approximately 12.3 BCFPD. The 692.36 MMCF
per day that is currently shut-in is approximately 1.15% of the 60.184
BCF consumed in the U.S. each day. The cumulative shut-in gas production
9/11/04-11/10/04 is 116.897 BCF, which is equivalent to 2.627% of the
yearly production of gas in the GOM which is approximately 4.45 TCF.
<http://www.mms.gov/ooc/press/2004/press1110.htm>

**See Midwest Drilling article under Petroleum above.**

**Other News**

Nothing to report.

**Energy Prices**

+-------------------------------+-----------+-----------+------------+
|                               | **Latest  | **Week    | **Year     |
|                               | (11       | Ago**     | Ago**      |
|                               | /10/04)** |           |            |
+-------------------------------+-----------+-----------+------------+
| **CRUDE OIL**                 | 48.70     | 50.90     | 31.01      |
|                               |           |           |            |
| **West Texas Intermediate     |           |           |            |
| US**                          |           |           |            |
|                               |           |           |            |
| \$/Barrel                     |           |           |            |
+-------------------------------+-----------+-----------+------------+
| **NATURAL GAS**               | 6.12      | 7.25      | 4.42       |
|                               |           |           |            |
| **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