News Release
June 15, 2000

MAINE INDEPENDENCE MARKS COMMERCIAL OPERATION

VEAZIE, Maine — Duke Energy celebrated the completion of construction and the commencement of operations at the Maine Independence Station in Veazie, Maine with a ribbon-cutting ceremony held today. Maine Governor Angus S. King, Jr., Duke Energy Chairman and Chief Executive Officer Richard B. Priory, Veazie Town Council Chairman Roderick Hathaway, Project Director Rufus D. Kellam, and Plant Manager Thomas Broad conducted the ceremony.

The $221 million Maine Independence Station is a 520-megawatt natural gas-fueled electric generating facility, one of the most efficient power plants in the nation. The station will generate enough electricity to serve approximately a half-million homes and will play a major role in helping meet the need for competitively priced electricity in Maine and New England. The new plant is fueled by natural gas transported by the Maritimes & Northeast Pipeline.

The plant is approximately 40 percent more efficient than traditional power plants, due in large part to its state-of-the-art, combined cycle design. About two-thirds of its electricity is generated by two large combustion turbine generators that are fueled by high-pressure air mixed with natural gas. The exhaust from this combustion process, which is not used in traditional fossil-fuel power plants, is utilized to produce high-pressure steam to drive a steam turbine generator.

The Maine Independence Station is far more environmentally friendly than traditional power plants, producing approximately 95 percent less air emissions per megawatt hour generated and approximately 95 percent less heated water into the Penobscot River than the former oil-fired plant at the site.

Duke Energy broke ground for the Maine Independence Station in October of 1998. A number of Maine companies helped build the facility and more than 90 percent of the workers who constructed the plant have been from Maine.

Construction was completed on schedule and commercial operations began on May 1, 2000. The Maine Independence Station sells its electricity to the New England Power Pool, managed by ISO New England and has already supplied significant amounts of power to the system.

Duke Energy (NYSE:DUK), 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 Exchange under the symbol DUK. More information about the company is available on the Internet at: http://www.duke-energy.com.

Contact: Kate Perez
Phone: 713/822-8418
24 Hour Phone: 704/382-8333
Email: kcperez@duke-energy.com