Enron affiliate Mariner Energy has sold its remaining 25% working interest in 32 blocks in the Falcon area in the Gulf of Mexico, including the Falcon field and the first quarter 2003 Harrier discovery located in East Breaks 758 and 759 to Pioneer Natural Resources for $121.6 million. Mariner said it will retain a 4.25% royalty interest on seven non-producing blocks in the Falcon Area. Pioneer also assumed certain contractual obligations relating to the Falcon Area from Mariner.

Duke Energy said the recently priced offering of 3.4 million units by affiliate TEPPCO Partners LP will result in proceeds to Duke Energy of $99.5 million, as TEPPCO purchases the Class B units held by Duke Energy’s wholly owned subsidiary, Duke Energy Transport and Trading Co. LLC (DETTCO). The transaction is expected to close on April 8. TEPPCO has also granted the underwriters a 30-day option to purchase up to an additional 513,750 units. If that option is exercised for at least 491,547 of the additional units, Duke expects to receive additional proceeds of $14 million. Texas Eastern Products Pipeline Co. LLC, an indirect wholly owned subsidiary of Duke Energy Field Services LLC (DEFS), serves as the general partner of TEPPCO. Duke Energy will continue to hold its 2.5 million limited partner units, plus a general partner interest in TEPPCO through DEFS. “The decision to monetize our investment in TEPPCO Class B units represents another execution of our portfolio management strategy, which seeks to allocate capital in the best interests of Duke Energy shareholders,” said Duke Energy CEO Richard B. Priory. “We have already announced or closed on deals that surpass our 2003 goal of obtaining more than $600 million in cash proceeds from the sale of non-strategic assets. The proceeds from this transaction will be used to further strengthen our balance sheet by paying off debt.” For more information on TEPPCO visit its web site at www.teppco.com.

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