News Release
April 03, 2000

DUKE ENERGY INTERNATIONAL ACQUIRES MOBIL’S EUROPEAN GAS MARKETING AND TRADING COMPANY

LONDON/HOUSTON– Duke Energy International (DEI) and ExxonMobil today announced that a DEI affiliate will acquire from Mobil Corporation 100 percent of Mobil Europe Gas Inc. (MEGAS), a leading European gas trading and marketing company active in the Netherlands.

After closing, MEGAS will become Duke Energy International Netherlands Trading and Marketing B.V. and will assume all of the obligations of MEGAS under its existing gas supply, transportation and gas sales agreements.

MEGAS is the largest independent gas marketer in the Netherlands, marketing some 3 billion cubic meters (105 billion cubic feet) per year or about 6 percent of the country's total gas market. With an established base of customers and contracts as well as its physical position at Northwest Europe’s gas hub, MEGAS is uniquely positioned to quickly benefit from liberalization of the European gas market as well as expanded opportunities in power trading across the continent.

"Given our proven trading and marketing and risk management capabilities, MEGAS provides DEI a solid initial platform in Europe and presents significant regional, commodity trading and portfolio expansion opportunities," said Bruce Williamson, president and chief executive officer of DEI. "The acquisition further illustrates Duke Energy’s unique merchant capability to access markets through gas or power and more importantly, enter at the right time and establish the right business platform. Liberalization and open competition has brought significant rationalization of utility asset values across Europe. As in North America, Asia Pacific and Latin America, our trading and marketing business will be a leading advocate for competitive energy markets across Europe."

The parties expect to close upon receiving appropriate government approvals.

Duke Energy International (DEI), a wholly owned subsidiary of Duke Energy, is one of the world’s leading international energy companies offering energy trading and marketing, risk management, natural gas and power development expertise and operations services across Latin America, Asia-Pacific and Europe.

Duke Energy, a diversified multi-national energy company, creates value for customers and shareholders through an integrated network of energy assets and expertise. Duke Energy manages a dynamic portfolio of natural gas and electric supply, delivery and trading businesses -- generating revenues of nearly $22 billion in 1999. Duke Energy, headquartered in Charlotte, N.C., is a Fortune 100 company traded on the New York Stock Exchange under the symbol DUK. More information about the company is available on the Internet at: www.duke-energy.com.

Contact: Jennifer Pierce
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Email: jmpierce@duke-energy.com
Contact: Charles Ryland
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Email: media_relations@duke-energy.com