News Release
April 17, 2000

TEXAS EASTERN ANNOUNCES ENHANCED SPECTRUM: A MULTI-FACETED CHICAGO-TO-THE-EAST GAS TRANSPORTATION SOLUTION

HOUSTON -- Texas Eastern Transmission Corp. (TETCO) announced today an open season for its "Enhanced Spectrum" program, TETCO’s low-cost alternative to new pipeline construction for the transportation of natural gas from Chicago to the East Coast.

TETCO, through a capacity lease agreement with Natural Gas Pipeline Co. of America (NGPL), a wholly owned subsidiary of Kinder Morgan Inc., has enhanced the previously announced Spectrum program to provide shippers with the ability to move gas from Chicago to the East Coast on a seamless, low-cost basis. Enhanced Spectrum continues to take advantage of the existing pipeline infrastructure, using capacity turnback on TETCO and back-haul capacity on NGPL to provide transportation options without construction of costly new facilities.

"The NGPL capacity lease and Enhanced Spectrum program present a three-fold benefit," said Robert B. Evans, president of Duke Energy Gas Transmission. "TETCO and NGPL will sell available existing pipeline capacity; shippers moving gas from western Canada will gain access to East Coast markets through a low-cost delivery service; and both landowners and the environment will benefit from the mitigation of new pipeline construction."

Service under Enhanced Spectrum is designed to be available beginning Nov. 1, 2000, to coincide with the startup of Alliance Pipeline, offering those shippers and others a cost-effective and timely alternative to transport gas out of Chicago and into East Coast markets. In addition, shippers may elect capacity commitments for a contract term as short as three years, a term significantly shorter than what would be required for new construction.

"Given the pipeline capacity turnback situation, the Enhanced Spectrum program with its use of existing available capacity is the most desirable alternative to transport gas to the East Coast," Evans said. "The total service package is superior to any of the new construction proposals available."

The open season will be held from May 15 to June 15, 2000. Informational meetings will be conducted in Houston on May 9 and in Calgary on May 11. For information, call Randy Riha at 713/627-4746 or e-mail rjriha@duke-energy.com.

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: Liz Johnson
Phone: 713-627-5011
24 Hour Phone: 704-382-8333
Email: evjohnson@duke-energy.com