Federal Register / Vol. 63, No. 82 /Wednesday, April 29, 1998 / Notices 23429

2See 80 FERC ¶61,264 (1997); order denying

reh’g issued January 28, 1998, 82 FERC ¶ 61,058

(1998).

3Public Service Company of Colorado v. FERC,

91 F.3rd 1478 (D.C. 1996), cert. denied, Nos. 96–

954 and 96–1230 (65 U.S.L.W. 3751 and 3754, May

12, 1997) (Public Service).

4Lawhorn’s petition includes a March 18, 1998

letter from Olympic to Lawhorn, in which Olympic

indicates that a Schedule attached to the letter

shows the refund amount Lawhorn owes. The

petition, however, does not include that Schedule.

adjustment relief from refunding the

Kansas ad valorem tax reimbursements

attributable to Lawhorn’s royalty

interest in a well (or wells) located in

the East Mansur Field and operated by

Olympic Petroleum Company

(Olympic). Lawhorn’s petition indicates

that Williams Gas Pipelines Central,

Inc., formerly: Williams Natural Gas

Company Williams) served Olympic

with the Statement of Refunds Due, and

that Olympic is now seeking to recover

Lawhorn’s royalty interest share of that

refund, for flow-through to Williams.

Lawhorn asserts that paying the refund

will cause she and her husband to

endure a special hardship. Lawhorn’s

petition is on file with the Commission

and open to public inspection.

On September 10, 1997, in Docket No.

RP97–369–000 et al, the Commission

issued an order,2 on remand from the

D.C. Circuit Court of Appeals,3 that

directed first sellers to make Kansas ad

valorem tax refunds, with interest, for

the period from 1983 to 1988. The

Commission subsequently stated, in its

January 28, 1998 Order Clarifying

Procedures [82 FERC ¶ 61,059 (1998)]

that producers could file NGPA section

502(c) adjustment petitions for relief

from the refund requirement if, among

other things, the payment of the Kansas

ad valorem tax refund would cause the

producer to endure a special hardship,

within the meaning of section 502(c) of

the NGPA.

Lawhorn states: 1) That she and her

husband have been retired for 10 years;

2) that no restrictions were placed on

the cashing of their royalty checks and,

therefore, that they did not place any

royalty check money into escrow; 3) that

both she and her husband are in poor

health and have serious medical

problems, with correspondingly

exorbitant medical bills; and 4) that they

cannot repay the amount sought by

Olympic 4 and still buy the medicine

they need to continue to live.

In view of the above, Lawhorn

requests that the Commission grant an

adjustment, relieving Lawhorn from

paying the Kansas ad valorem tax

refund sought by Olympic, on the basis

that paying the refund will cause

Lawhorn to endure a special hardship.

Any person desiring to be heard or to

make any protest with reference to said

petition should on or before 15 days

after the date of publication in the

Federal Register of this notice, file with

the Federal Energy Regulatory

Commission, 888 First Street, N.E.,

Washington, D.C. 20426, a motion to

intervene or a protest in accordance

with the requirements of the

Commission’s Rules of Practice and

Procedure (18 CFR 385.214, 385.211,

385.1105, and 385.1106). All protests

filed with the Commission will be

considered by it in determining the

appropriate action to be taken but will

not serve to make the protestants parties

to the proceeding. Any person wishing

to become a party to a proceeding or to

participate as a party in any hearing

therein must file a motion to intervene

in accordance with the Commission’s

Rules.

David P. Boergers,

Acting Secretary.

[FR Doc. 98–11310 Filed 4–28–98; 8:45 am]

BILLING CODE 6717–01–M

DEPARTMENT OF ENERGY

Federal Energy Regulatory

Commission

[Docket No. SA98–81–000]

Shannon Energy Corporation; Notice

of Petition for Adjustment

April 23, 1998.

Take notice that on April 7, 1998,

Shannon Energy Corporation (Shannon)

filed a petition, pursuant to section

502(c) of the Natural Gas Policy Act of

1978 [15 U.S.C. § 3412(c)] and Subpart

K of the Commission’s Rules of Practice

and Procedure, for an adjustment

relieving Shannon of its obligation to

make:

(1) $17,501.17 in Kansas ad valorem

tax refunds to Williams Gas Pipelines

Central, Inc., formerly: Williams Natural

Gas Company (Williams);

(2) $1,180.59 in Kansas ad valorem

tax refunds to Colorado Interstate Gas

Company (CIG); and

(2) 43,245.89 in Kansas ad valorem

tax refunds to Amoco Production

Company (Amoco), for subsequent flowthrough to the purchaser.

Shannon contends that its financial

condition cannot withstand having to

refund these amounts, because it is a

scaled-down company that no longer

operates the wells that generated the

refund obligations, and because it will

not be able to collect amounts owed by

the other working interest owners and

the royalty interest owners, since it has

no way to bill them. Shannon’s petition

is on file with the Commission and open

to public inspection.

Shannon states that, although it was

the operator of several Hugoton wells

during the period from December 1,

1986 through January 1, 1993, it no

longer operates those wells, and has no

way to obtain reimbursement of

amounts attributable to many of the

working and royalty interest owners,

because Shannon is no longer billing

out through a Joint Interest Billing or

paying revenue checks. Shannon

indicates that, collectively, Williams,

CIG, and Amoco have served Shannon

with $61,927.65 in refund claims.

Shannon contends that, if it tries to

make a ‘‘special’’ billing of the

appropriate working and royalty interest

owners with respect to these refund

claims, it will not be reimbursed by

those owners and, therefore, will receive

the hardship of the uncollectible debts.

Shannon further states that it does not

have the funds to risk so large a writeoff.

In view of the above, Shannon

requests that it be relieved of its

obligation to refund the abovereferenced amounts to Williams, CIG,

and Amoco, i.e., to be relieved of its

obligation to refund the amounts

attributable to its own working interest,

and to be relieved of the obligation to

make refunds on behalf of the other

working interest owners and the royalty

interest owners.

Any person desiring to be heard or to

make any protest with reference to said

petition should on or before 15 days

after the date of publication in the

Federal Register of this notice, file with

the Federal Energy Regulatory

Commission, 888 First Street, N.E.,

Washington, D.C. 20426, a motion to

intervene or a protest in accordance

with the requirements of the

Commission’s Rules of Practice and

Procedure (18 CFR 385.214, 385.211,

385.1105, and 385.1106). All protests

filed with the Commission will be

considered by it in determining the

appropriate action to be taken but will

not serve to make the protestants parties

to the proceeding. Any person wishing

to become a party to a proceeding or to

participate as a party in any hearing

therein must file a motion to intervene

in accordance with the Commission’s

Rules.

David P. Boergers,

Acting Secretary.

[FR Doc. 98–11312 Filed 4–28–98; 8:45 am]

BILLING CODE 6717–01–M