News Release
April 07, 1999

UNITED AMERICAN ENERGY CORP. PURCHASES 100 PERCENT OWNERSHIP INTEREST IN MECKLENBURG COGENERATION FACILITY

WOODCLIFF, N.J. -- United American Energy Corp. (UAE) announced today that it purchased 100 percent ownership in the Mecklenburg Cogeneration Limited Partnership from subsidiaries of Duke Energy and American National Power Company.

The Mecklenburg Cogeneration Facility is a 132-megawatt, pulverized, coal-fired plant located in Clarksville, Va. The project began commercial operation in November 1992 and provides electricity to Virginia Power and steam to a large textile facility operated by Burlington Industries. Mecklenburg Cogen has a very low environmental impact and has been recognized as one of the cleanest coal-fired facilities in the United States. Operations and maintenance services are provided by Duke/Fluor Daniel, a worldwide technical services firm which also designed and constructed the Mecklenburg facility.

"This project represents an important step forward in the growth of United American Energy," said David Goodman, UAE president and CEO. "Mecklenburg is a well-run, financially sound facility which will continue to provide environmentally sustainable power."

United American Energy Corp., based in Woodcliff Lake, N.J., is a market leader in the acquisition, remediation, ownership and management of independent electric power generating facilities. The privately held company owns, operates and has interests in 18 power generating projects (including pending acquisitions) with a combined generating capacity of 730 megawatts. These facilities, located across the United States from California to Maine, generate electricity using a variety of fuel sources, including hydro, waste products, natural gas, coal and municipal solid waste. UAE also owns and operates the largest deep anthracite coal mine in the United States, selling its processed product mainly to the metallurgical coal market.

Duke Energy (NYSE:DUK) is a global energy company with more than $26 billion in assets. Headquartered in Charlotte, N.C., the company reaches into more than 50 countries, producing energy, transporting energy, marketing energy and providing energy services. In the United States, Duke Energy companies provide electric service to approximately two million customers in North Carolina and South Carolina; operate interstate pipelines that deliver natural gas to various regions of the country; and are leading marketers of electricity, natural gas and natural gas liquids. Additional information about the company is available on the Internet at: http://www.duke-energy.com.

Contact: Sylvia Golbin
Phone: (201) 307-1818
24 Hour Phone: (704) 382-8333
Email: media_relations@duke-energy.com