The BBGKY formalism is utilized to obtain a set of moment equations to be s
atisfied by the collision operator in an energy conserving discrete Boltzma
nn equation for the case of a nonlocal interaction potential. A modified BG
K form of the collision operator consistent with these moment equations is
described. In the regime of isothermal hows, a previous proposed nonideal g
as model is recovered. Other approaches to constructing the collision opera
tor are discussed. Numerical implementation of the modified BGK form, using
a thermal lattice Boltzmann model, is illustrated as an example. The time
dependence of the density autocorrelation function was studied for this mod
el and found, at early times, to be strongly affected by the constraint of
total energy conservation. The long time behavior of the density autocorrel
ation function was consistent with the theory of hydrodynamic fluctuations.