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ATTACHMENT 1 

GLOSSARY 

Dennis Abbott (“Abbott”) was the “second-in-command” on BP’s NGL Trading Bench in 

February 2004. 

“Any” or “Any barrel.” A contract for an “any” barrel of propane for a particular month may be 

delivered at any time, with agreement of the buyer and the seller, during the month up to the last 

calendar day. 

BP Products North America (“BPNA” or “BP”) is a wholly owned subsidiary of BP p.l.c., the 

second largest energy company in the world. In 2004, BP was one of the largest Natural Gas 

Liquids (“NGLs”) marketers and producers in the United States. BP also consumes propane in 

connection with its chemical manufacturing business. 

BP North American Gas and Power (“NAGP”) is the trading arm of BP in North America and 

the “face to the market” for trading NGLs, and specifically TET propane. 

BP Natural Gas Liquids Business Unit (“NGLBU”) handles the production, wholesale 

marketing and transportation of NGLs in North America, including propane. 

Donald Cameron Byers (“Byers”) is currently the CEO and President of NAGP and, in 

February 2004, was the Chief Operating Officer of NAGP. 

“Chalkboard” is an electronic bulletin board that provides a means for propane traders to 

engage in bilateral negotiations. Chalkboard allows parties to post bids and offers and negotiate 

transactions in propane but Chalkboard does not take title to propane. 

Cody Claborn (“Claborn”) was the primary trader for TET propane in February 2004 and 

participated in the execution of BP’s February 2004 TET propane strategy. Claborn was placed on 

paid administrative leave during the Division’s investigation in this matter, and was recently fired for 

his actions in connection with BP’s February 2004 TET propane trading strategy. 

Dynegy Liquids Marketing (“Dynegy”) owned and operated a propane storage facility also 

located in Mont Belvieu Texas during the relevant period. Propane stored at that facility and 

deliverable to that location is referred to as “non-TET” propane by the propane industry. 

Enterprise Products Partners, LP (“Enterprise”) owns and operates a natural gas liquids storage 

facility also located in Mont Belvieu Texas. Propane stored at that facility and deliverable to that 

location is referred to as “non-TET” propane by the propane industry. 

Martin Marz (“Marz”) was the Compliance Manager for NAGP in February 2004. He has 

recently been removed from that position and is currently a Regulatory Affairs Consultant for 

BPNA with no responsibility for supervising trading on behalf of BP. 
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Mark Radley (“Radley”) was the Bench Leader for the NGL Trading Bench for NAGP from 

approximately December 2002 through April 2005. Radley was placed on paid administrative 

leave during the Division’s investigation in this matter, and was recently fired by BP for his 

actions in connection with BP’s February 2004 TET propane trading strategy. 

 “NGL” is an acronym for natural gas liquids. 

“NGL Bench” refers to BPNA’s group of traders that trade natural gas liquids. 

Oil Price Information Service (“OPIS”), is a private price reporting service, which conducts 

daily surveys of traders and provides a daily midpoint, or “OPIS Average,” for the propane 

commodity market based on the simple average of the highest and lowest observed prices.1

 The 

OPIS Average is also used in the propane markets to settle financial swaps and options. The 

OPIS publishes prices for spot and forward months in both TET and non-TET propane, as well 

as for Conway, Kansas propane. It also publishes prices for each of these propane products in 

outlying quarters.

“Physical propane” or “Physical propane contract” refers to a contract that provides the 

purchase or sale of actual propane. Physical propane is traded either as “wet” barrels or as “any” 

barrels for purposes of delivery. Physical propane is traded in the cash markets using largely 

standardized contracts traded in volumes denominated in barrels of liquified propane (“bbls”). 

Each barrel holds 42 gallons of propane. Propane prices are quoted in cents per gallon (“cpg”) at 

increments of 1/8th of a cent. Physical propane may be traded either at a “fixed” price or an 

“index” price. The index is published on a daily basis by OPIS. The delivery location of the 

propane is a function of the propane product being traded, i.e., the delivery location for TET 

propane is the TEPPCO storage facility, and the delivery location for non-TET propane is either 

Dynegy or Enterprise. 

“Propane.” Propane is one of the five primary natural gas liquids (NGLs). Propane is a byproduct created during the processing and separating of natural gas liquids from natural gas to 

meet pipeline standards, or during the crude oil refining process. 

James Summers (“Summers”) was the Vice President of NGL Trading for NAGP in February 

2004. 

“TET” is an acronym for Texas Eastern Transmission Corporation. The phrase “TET propane” 

refers to propane that is deliverable at the TEPPCO storage facility in Mont Belvieu, Texas or 

any where within the TEPPCO system. 

“TEPPCO” is an acronym for Texas Eastern Products Pipeline Co, LLC. The TEPPCO storage 

facility is located in Mont Belvieu Texas. The TEPPCO storage facility is also the delivery 

location for the New York Mercantile Exchange’s (“NYMEX”) propane contract. TEPPCO is 

the largest single storage facility for physical propane in the world is owned and operated by 

 

1

 The “OPIS Average” is not weighted according to volume. 
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TEPPCO Partners, L.P. in Mont Belvieu, Texas (“TEPPCO storage facility”). The TEPPCO 

storage facility is the primary source for propane used in residential, commercial and agricultural 

heating in the northeastern United States via the TEPPCO pipeline, which runs from Mont 

Belvieu, Texas north through Ohio, into New York, Pennsylvania and Illinois. 

“Voicebrokers” are individuals that broker transactions between propane traders through 

telephonic as well as instant messaging and email. 

“Wet” or “wet barrel” refers to a physical barrel of propane that has a specific delivery date 

within a particular month.