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Nova Scotia Power Buys Into Maritimes

Nova Scotia Power Buys Into Maritimes

Nova Scotia Power Inc. completed the purchase of a 12.5% interest in the Maritimes &amp Northeast Pipeline (M&ampNP) project. This purchase represents a total investment of about $200 million.

This pipeline is being constructed to carry Sable offshore gas to markets in the Maritimes and will extend through the northeastern United States, as far as Dracut, MA. In-service is expected by the end of 1999. Nova Scotia Power bought its share in Maritimes from Mobil Oil, which had a 25% interest in the pipeline and sold have to Nova Scotia Power. The company is the largest single Nova Scotia purchaser of gas from the Sable offshore field at 61.5 MMcf/d, a spokesman said.

"We are proud to be the first Nova Scotian company to play a significant role in the Sable project infrastructure by owning a portion of the transmission pipeline," said David Mann, CEO. "This purchase is an important step in our company's diversification into a regional energy company and our first major investment outside of Nova Scotia."

The M&ampNP pipeline is expected to cost approximately C$1.7 billion. Partners in the project include Westcoast Energy Inc., Duke Energy and Mobil Oil.

Nova Scotia Power is the principal supplier of electricity in Nova Scotia, providing reliable energy and related services to nearly 430,000 customers province-wide. With $2.8 billion in assets, the company's operations include more than 95% of the generation, transmission and distribution of electric power throughout Nova Scotia. Nova Scotia Power had 1997 revenues of $750 million.

Joe Fisher, Houston

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