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Not familiar with the '97, but my '03 has a red security light to the left of the steering wheel (marked 'SECURITY'). If there's an issue with the chip in the key, the fuel pump is disabled and the red security light turns solid. The engine turns over easily but won't start.

If you have a second ignition key, try using that to see if it makes a difference. With my last car the issue was that the key's surface was dirty. With the Pathy, cleaning didn't seem to help so I just switched to a different key.
 
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