1. Energy Business Solutions Confidential Michigan IRP Gas Forecast

2. Energy Business Solutions Confidential Michigan IRP Gas Forecast  In the following slide, you will see 3 natural gas profiles 1.EIA WellHead Price for the Lower 48 Average  Published data from the EIA 2.EIA WellHead Price adjusted upward by 12.2% to account for the median between wellhead prices and Henry Hub Prices  An analysis was performed by NewEnergy that compared historical wellhead prices and historical Henry Hub prices for their correlation, standard deviation, average % difference, and median % difference.  Median % difference was used to scale the WellHead price to Henry Hub  Methodology employed by EIA (http://www.eia.doe.gov/oiaf/analysispaper/henryhub/index.html) 3.Henry Hub Forecast using more recent Henry Hub Prices, while maintaining the shape provided by EIA  Using the average Henry Hub Cash Price from 1/1/2005 to 6/16/2005 for 2005, the shape was maintained and gas prices were projected forward until 2025

3. Energy Business Solutions Confidential Michigan IRP Gas Forecast