TXU of Dallas agreed to sell its majority interest in a MexicoCity gas distribution system to Gas Natural and Hidroelectrica delCantabrico for $68 million. Gas Natural will become operator whenthe deal closes, which is expected later this year.

Mitchell Energy & Development Corp. said its proved NGLreserves grew to a record 178 million barrels Jan. 31, up 39million barrels, or 28%, from the prior year. The Woodlands,TX-based producer said 40% of this increase was attributed toexpanded drilling activities. Another 35% came from the October1999 Jameson plant acquisition. The remainder was due primarily toimproved processing margins.

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