The OilSpot News from DTN Energy
Monday, May 5, 2003 VOLUME 1 ISSUE 42  


FRONT PAGE
Duke Unit to Sell Pipeline, Gas Assets for $90 Million


Duke Energy Field Services said on Friday (5/2) that it will sell in two separate deals a combination of pipeline and gas processing plants along the Gulf Coast and in eastern Oklahoma. Crosstex Energy Services will acquire the Gulf Coast assets, while ScissorTail Energy, LLC will purchase the assets in eastern Oklahoma.

 

The assets to be sold to Crosstex, situated in Mississippi, Texas, Alabama and Louisiana, are the AIM Pipeline System, a 12.4 percent interest in the Seminole gas processing plant, the Conroe gas plant and gathering system, and the Black Warrior pipeline system and two smaller systems--Aurora Centana and Cadeville.

 

The sale to Crosstex is subject to various regulatory approvals.

 

The second set of assets that will be sold to ScissorTail includes various gas processing plants and approximately 2,800 miles of gathering pipeline in eastern Oklahoma.

 

The Duke subsidiary will net more than $90 million with the two deals, which it says will be used to pay down debt. The sales are expected to close by June 30.

 

DEFS is involved in the gathering and processing of natural gas, production, transportation and marketing of NGLs.


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