Notice to Members
Notice No. 270 10/02/2002
Update on October 2002 Henry Hub Natural Gas Deliveries
The New York Mercantile Exchange has been in close contact with Sabine Pipeline Company to determine any potential impact of Hurricane Lily on the deliveries against the October 2002 Exchange Henry Hub natural gas contract. Sabine has been monitoring its pipelines and all flows on-line from its secondary facility in Houston and is in direct contact with its customers. Our rules call for participants and clearing members who are matched for delivery to make commercially reasonable effort to meet their delivery obligations. The natural gas contract calls for rateable delivery "at as uniform an hourly and daily rate of flow over the course of the delivery month as is possible under the operating procedures and conditions of the transporting pipelines." (See Exchange Rule 220.12(2)). Should unusual or extreme conditions threaten the orderly performance of deliveries, the Exchange will, through its delivery committee, monitor and deal with such issues when and if they arise. At all times parties may, upon mutual consent, arrange for an alternate delivery procedure as it may relate in whole or in part to any obligation.
Should you have any questions or require any further information, please contact exchangeinfo@nymex.com