Great Plains Gasification Associates, A Partnership, Transco Coal Gas Company, A Partner Other Than The Tax Matters Partner - Page 60

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          pre-May 22, 1986, circumstances did not amount to an abandonment            
          of the project by the partnership.                                          
               The gist of respondent’s argument, as we understand it, is             
          that events occurring after May 22, 1986, and no later than July            
          14, 1986, tipped the balance, transforming what respondent views            
          as the partnership’s gradual abandonment-in-process into actual             
          abandonment, somewhat as ever-colder water will finally make ice.           
          The post-May 22, 1986, events that respondent points to in                  
          support of this theory are essentially these:  On May 28, 1986,             
          ANRC and Transco Energy submitted to DOE a new proposal, which              
          DOE rejected on June 9, 1986; on June 20, Transco informed ANR              
          that it would not participate in appealing the District Court’s             
          foreclosure order; on June 24, 1986, ANRC and Transco Energy                
          submitted to DOE yet another proposal, which DOE rejected on June           
          25, 1986; and the foreclosure sale occurred on June 30, 1986,               
          without any bids from the partnership or any partner.                       
               We are unpersuaded that there was such a change in the                 
          partnership’s business climate immediately after May 22, 1986, as           
          to say that the partnership should be deemed to have abandoned              
          the project assets on (or by) July 1 or 14, 1986, if, as                    
          respondent concedes, the partnership had not abandoned them                 
          before then.  Rather, it appears to us that the post-May 22,                
          1986, events were mainly a continuation of the partners’ ongoing,           
          albeit ultimately unsuccessful, efforts to protect their                    
          significant investments in the project.                                     





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