Duke

Duke Energy Gas Transmission (DEGT) has agreed to buy the 50% of Saltville Gas Storage LLC that it did not already own, along with related pipeline assets and the Early Grove gas storage field in southwestern Virginia, from AGL Resources for $62 million. The deal is expected to close in the third quarter.

Duke Energy met analysts’ earnings estimates for the quarter and beat estimates for the year by about 3 cents/share. The company reported earnings per share of $1.59 ($1.49 billion in net income) compared to a loss of ($1.48) per share in 2003, or a $1.32 billion loss. Ongoing basic earnings per share for 2004, excluding special items, were $1.38 versus $1.28 in 2003. Earnings in the fourth quarter were $0.38 per share, or $358 million, compared to a loss of ($2.23) per share, or a $2.02 billion loss, in the fourth quarter 2003. Excluding special items, ongoing basic earnings per share for fourth quarter 2004 were $0.24 versus $0.22 in fourth quarter 2003. “In 2004, we regained control of our own destiny,” said CEO Paul Anderson. “We exceeded the 2004 targets we set to rebuild our financial strength and finished this year in the driver’s seat to pursue new growth opportunities. We maintained our dividend, exceeded our goals in reducing debt and asset sales, and improved our merchant operation. As we move into 2005, we will build on those accomplishments and continue to fine-tune our portfolio.”

FERC’s conference on the status of price reporting late last month produced a face-off between price index publishers and the director of enforcement for the Commodity Futures Trading Commission (CFTC), a confrontation indicative of the intensity of the behind-the-scenes legal battles being fought by the publishers to maintain confidentiality of their sources.

FERC’s conference on the status of price reporting produced a face-off Friday between price index publishers and the director of enforcement for the Commodity Futures Trading Commission (CFTC), a confrontation indicative of the intensity of the behind-the-scenes legal battles being fought by the publishers to maintain confidentiality of their sources.

Duke Energy subsidiary Market Hub Partners (MHP) said it will use utilize Solution Mining Under Gas (SMUG) technology to add a third salt cavern with 8 Bcf of capacity to the Egan gas storage facility in Acadia Parish, LA. SMUG allows the expansion to take place while the storage facility remains in service. The project is expected to be completed in mid to late 2006.

Duke Energy subsidiary Market Hub Partners (MHP) said it will use utilize Solution Mining Under Gas (SMUG) technology to add a third salt cavern with 8 Bcf of capacity to the Egan gas storage facility in Acadia Parish, LA. SMUG allows the expansion to take place while the storage facility remains in service. The project is expected to be completed in mid to late 2006.

Duke Energy Field Services (DEFS) closed the purchase of 1,000 miles of gathering pipeline, the 75-mile Raptor intrastate pipeline system, as well as processing assets in southeast New Mexico from ConocoPhillips for $74 million. The assets include the Hobbs, Antelope Ridge and Zia processing plants with total capacity of 112 MMcf/d. “These assets acquired from ConocoPhillips allow DEFS to capture synergies from our existing asset base in southeast New Mexico,” said DEFS Chairman Bill Easter. “They will further enhance our ability to gather and process all types of gas, improve system flexibility and increase service offerings for our customers.”

Saltville Gas Storage Co. LLC, a joint venture of NUI Corp. and Duke Energy Gas Transmission, is holding a 30-day open season to test market interest in about 1 Bcf of firm gas storage capacity that is being developed at the companies’ new storage facility in Saltville, VA.

Saltville Gas Storage Co. LLC, a joint venture of NUI Corp. and Duke Energy Gas Transmission, is holding a 30-day open season to test market interest in about 1 Bcf of firm gas storage capacity that is being developed at the companies’ new storage facility in Saltville, VA.