Dallas

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.

TXU of Dallas sold substantially all of the assets of its gasprocessing subsidiary in Texas, TXU Processing Co. (TXUP), toCantera Resources Inc. for $105 million. TXUP (previously known asEnserch Processing Inc.) has 162 full-time employees, now bound forCantera, and owns and operates nine gas processing plants suppliedby more than 1,800 miles of company-controlled gathering lines withinstalled gathering compression of more than 34,500 horsepower.

Plans for the pipeline were announced last December (see NGI, Dec.27, 1999). Project completion is scheduled for third quarter 2001.

Pioneer Natural Resources Co. of Dallas, Mariner Energy ofHouston, CNG Producing of New Orleans and Westport Oil and Gasparticipated in a deep-water Gulf of Mexico discovery on theDevil’s Tower Prospect in Mississippi Canyon 773, about 140 milessoutheast of New Orleans in 5,610 feet of water. A Pioneerspokesperson said the partners agreed to not disclose the type ofhydrocarbons discovered.

Piedmont Natural Gas Co. of Charlotte, NC; AGL Resources ofAtlanta; Atmos Energy Corp. of Dallas; and Teco Energy of Tampa,FL; are forming a joint venture to combine their propaneoperations.

Piedmont Natural Gas Co. of Charlotte, NC; AGL Resources ofAtlanta; Atmos Energy Corp. of Dallas; and Teco Energy of Tampa,FL; are forming a joint venture to combine their propaneoperations.

Pioneer Natural Resources Co. of Dallas, Mariner Energy Inc. ofHouston, CNG Producing Co. of New Orleans and Westport Oil and GasCo. participated in a deep-water Gulf of Mexico discovery on theDevil’s Tower Prospect in Mississippi Canyon 773, about 140 milessoutheast of New Orleans in 5,610 feet of water. A Pioneerspokesperson said the partners agreed to not disclose the type ofhydrocarbons discovered.

The pending merger of American Electric Power (AEP) of Columbus,OH, and Central and South West Corp. of Dallas, TX, receivedantitrust clearance from the Department of Justice. Approvals thatremain include the Federal Energy Regulatory Commission (FERC), theFederal Communications Commission (FCC) and the Securities andExchange Commission (SEC). Upon completion of the merger, the newcompany will be called American Electric Power.

Central and South West Corp. of Dallas filed with the PublicUtility Commission of Texas (PUCT) its business separation planrequired by Texas Senate Bill 7 on Electric Restructuring. The plandescribes the approach proposed by CSW to unbundle the activitiesof each of its Texas electric operating companies into threeentities. While the plan is directed to meet the requirements ofthe Texas restructuring legislation, the separation plan shouldalso meet restructuring requirements anticipated in Arkansas,Louisiana and Oklahoma, the company said.