Enogex Inc. completed its acquisition of Transok LLC, a gatherer,processor and transporter of natural gas in Oklahoma andTexas. Enogex, a subsidiary of OGE Energy Corp., announced plans May17 to buy Transok from Houston-based Tejas Gas LLC, an affiliate ofShell Oil Co. for $701 million (See Daily GPI May 18, 1999).

“We moved quickly through regulatory review, arranged thenecessary financing and made significant progress towardintegration without wavering from our initial time frame,” saidSteven E. Moore, OGE Energy CEO.

Integration of the Transok system with the Enogex network ofpipelines will bring the total to about 10,000 miles of pipe withthe capacity to transport more than 3 Bcf/d to a number ofend-users and pipelines. Combined gas storage capacity will benearly 23 Bcf. Together, the companies have interests in 15 gasprocessing plants.

“We are very excited about the possibilities this acquisitioncreates for OGE and Enogex,” said Roger Farrell, Enogex CEO. “Itwill provide our producers and transportation customers withgreater options and position us to compete favorably in aderegulated marketplace. Equally important, we expect thisacquisition to deliver positive earnings during its first full yearof operation.

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