UNITED STATES OF AMERICA
Before the
SECURITIES AND EXCHANGE COMMISSION
In the Matter of
SIXTH
NATIONAL FUEL GAS COMPANY CERTIFICATE
HORIZON ENERGY DEVELOPMENT, INC. PURSUANT TO
RULE 24
File No. 70-8649
(Public Utility Holding Company Act of 1935)
THIS IS TO CERTIFY, pursuant to Rule 24, that certain transactions
proposed by National Fuel Gas Company ("National") and its subsidiary, Horizon
Energy Development, Inc. ("Horizon") in Form U-1, Application-Declaration, File
No. 70-8649, as amended, have been carried out in accordance with the terms and
conditions of said Application-Declaration and the Order of the Securities and
Exchange Commission (the "Commission") (HCAR No. 35-26364 dated August 29, 1995)
with respect thereto, and that, the following information for the quarter ended
December 31, 1996 is herein provided:
1a) Horizon's balance sheet at December 31, 1996 is attached as Exhibit
1.
1b) National's balance sheet at December 31, 1996 is included in
National's Form 10Q for the first quarter of fiscal 1997 which
was filed with the Commission on February 14, 1997 and is
incorporated herein by reference.
2a) Horizon's income statement for the quarter ended December 31,
1996 is attached as Exhibit 2.
2b) National's income statement for the quarter ended December 31,
1996 is included in National's Form 10Q for the first quarter of
fiscal 1997 which was
filed with the Commission on February 14, 1997 and is
incorporated herein by reference.
3) Recourse and non-recourse debt securities issued to third
parties by Intermediate Companies during the quarter ended
December 31, 1996.
None.
4) A general description of the activities of the Applicants for
the quarter ended December 31, 1996 and of the projects in which
they or their subsidiary companies have an ownership interest:
a) National and Horizon entered into an agreement to sell and
transfer their interest in a special purpose subsidiary, Fauji
Kabirwala Power Company, Ltd. ("FKPCL"), a certified EWG.
FKPCL was organized to develop a 151 Megawatt power plant near
Kabirwala, Pakistan. Until a closing of the transaction, which
is currently expected to occur during the first calendar
quarter of 1997, Horizon continues to own 48.19% of the voting
stock of FKPCL.
b) As reported in the Fourth Certificate Pursuant to Rule 24
dated August 28, 1996 under this File No. 70-8649, as of June
25, 1996, Horizon paid $1,612,500.00 (and was to sometime in
the future pay a working capital adjustment) for 100% of the
capital stock of Beheer - En Beleggingsmaalschappij Bruwabel,
B.V. ("Bruwabel", a Dutch corporation). The working capital
adjustment in the amount of $424,144.00 was paid on October 3,
1996.
5) Information on intercompany service transactions (including
those provided at cost and at market rates) involving affiliated
Intermediate Companies.
Neither Horizon or National engaged in any intercompany
service transactions with affiliate Intermediate Companies.
February 25, 1997 NATIONAL FUEL GAS COMPANY
By:/s/Philip C. Ackerman
Philip C. Ackerman
Senior Vice President
<PAGE>
HORIZON ENERGY DEVELOPMENT,
INC.
By:/s/Bruce H. Hale
Bruce H. Hale
Vice President
Exhibit 1
HORIZON ENERGY DEVELOPMENT, INC.
BALANCE SHEET
At December 31, 1996
--------------------
ASSETS
Current Assets:
Cash $ 304,875
Accounts Receivable 473,047
Prepaid Expenses 70,276
----------
Total Current Assets 848,198
----------
Property, Plant & Equipment 1,521,421
Less: Reserve for DDA 269,583
----------
1,251,838
----------
Other Assets 1,330,832
----------
Total Assets $3,430,868
==========
LIABILITIES AND STOCKHOLDERS EQUITY Capital Stock $1 Par:
Shares Authorized, Issued and Outstanding: 1,250 $ 1,250
Paid-in Capital 3,248,750
Retained Earnings (11,799,911)
-----------
Total Stockholders Equity (8,549,911)
-----------
Current and Accrued Liabilities:
Notes Payable - Intercompany 8,200,000
Accounts Payable 238,855
Accounts Payable - Intercompany 643,704
Federal Income Taxes Payable (1,077,627)
Other Accrued Liabilities 3,320,586
----------
Total Current and Accrued Liabilities 11,325,518
----------
Deferred Credits:
Accumulated Deferred Income Taxes (57,459)
Other Deferred Credits 712,720
----------
Total Deferred Credits 655,261
----------
Total Liabilities and Stockholders Equity $ 3,430,868
==========
Exhibit 2
HORIZON ENERGY DEVELOPMENT, INC.
INCOME STATEMENT
Three Months Ended
December 31, 1996
Operating Revenues $ 728,220
----------
Operating Expenses:
Operation Expense 3,798,306
Maintenance Expense 10,369
Property, Franchise and Other Taxes 1,133
Depreciation, Depletion and Amortization 8,048
----------
Total Operating Expenses 3,817,856
----------
Operating Loss Before Taxes (3,089,636)
----------
Other Income 3,178
----------
Income Taxes - Current (1,018,116)
- Deferred (14,064)
----------
(1,032,180)
----------
Loss Before Interest Charges (2,054,278)
Interest Charges 155,482
----------
Net Loss $(2,209,760)
===========
