News Release
Feb. 16, 1998

DUKE ENERGY AND FLUOR DANIEL WIN CONTRACT TO BUILD TEXAS POWER PLANT

Duke Energy (NYSE:DUK) and Fluor Daniel (NYSE: FLR) announced today their business unit, Duke/Fluor Daniel, has been awarded a contract by Ingleside Cogeneration Limited Partnership to design and build a nominal 440-megawatt, natural gas-fired cogeneration power plant near Ingleside, Texas.

Ingleside Cogeneration Limited Partnership is a project-specific partnership between OxyChem, a unit of Occidental Petroleum Corp.; and Conoco Global Power Inc., a wholly owned subsidiary of Conoco, the energy arm of DuPont.

Duke/Fluor Daniel will provide turnkey engineering, procurement, construction, start-up and testing services for the project. The total installed cost of the project, including financing, is approximately $210 million. Duke/Fluor Daniel’s contract value was not disclosed.

About 80 Duke/Fluor Daniel employees already have begun work in the unit’s Irvine, Charlotte and Corpus Christi, Texas offices. The construction work force is expected to peak at 500 people. Project completion is scheduled for December 1999.

The new plant will be adjacent to chemical complexes owned by OxyChem and DuPont. When complete, the plant will sell up to 235 megawatts of electric power and 1.1 million pounds per hour of process steam to OxyChem. The balance of the electricity, 205 megawatts, will be sold into the Texas market.

Duke/Fluor Daniel was formed in 1989 by Fluor Daniel and a unit of Duke Energy Corp. It provides comprehensive engineering, procurement, construction, operations and maintenance/technical services for fossil-fueled electric power generation facilities worldwide.

Duke Energy Corp., is a global energy company with more than $20 billion in assets. Duke Energy companies provide electric service to about 2 million customers; operate pipelines that deliver 12 percent of the natural gas consumed in the United States; and are leading marketers of electricity, natural gas and natural gas liquids. Globally the companies develop, own and operate energy facilities and provide engineering, management, operating and environmental services. Contact Duke Energy on the World Wide Web at http://www.duke-energy.com.

Fluor Daniel, the principal subsidiary of Fluor Corp., is a global engineering, construction, maintenance and diversified services company, with more than 50 offices worldwide.

Contact: lisa boyette
Phone: 714 975-3652
24 Hour Phone: 704 382-8333
Email: media_relations@duke-energy.com