OGE Energy’s subsidiary Enogex, has completed the sale ofseveral non-core assets in Utah and in Oklahoma. The assets wereconsidered non-core by the company after it acquired Transok LLCfor $701 million in July 1999 (see Daily GPI, July 2, 1999).

The assets that were sold include interests in natural gas andoil properties in Utah and three natural gas-gathering pipelinesystems in Oklahoma. Enogex sold all of its interests in oil andgas properties in Utah, including rights, equipment, real propertyand leases. The company sold the three Oklahoma pipeline systems toSeminole Gas of Tulsa, OK. Included in the sale was its Piedmontand El Reno systems in Canadian County, and the Fidelity gatheringsystem in Oklahoma County. All gathering lines, compressors, andrelated equipment along with contracts and rights of way wereincluded in the Oklahoma sale. The total value of the combinedsales comes to about $14 million.

“We said when we financed the Transok acquisition that we wouldpursue opportunities to sell non-core assets to generate cash fordebt service,” said James R. Hatfield, senior vice president of OGEEnergy. “With these sales, we’re following through on thatcommitment.”

Enogex’s acquisition of the Transok pipeline system last yearformed one of the 10 largest natural gas pipelines in the UnitedStates.

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