News Release
Aug. 29, 2001

MARITIMES ANNOUNCES OPEN SEASON FOR PHASE IV EXPANSION PROJECT IN CANADA AND THE UNITED STATES

HALIFAX, NOVA SCOTIA and BOSTON – Maritimes & Northeast Pipeline (Maritimes) announced today an open season for its Phase IV expansion, a new project to bring additional Atlantic Canadian supplies of natural gas to the growing markets in the northeastern United States and eastern Canada.

During the Aug. 27–Sept. 21 open season, shippers can submit non-binding nominations to transport gas on the Maritimes system. The firm transportation services to be offered will be provided on a non-discriminatory, open-access basis. For more information, customers in the United States may contact Pat Whitty at 617/560-1447; Canadian customers may contact Rob Whitwham at 902/425-0628.

"The Eastern Canadian and Northeast markets continue to be attracted to the natural gas supply opportunities available from the developing PanCanadian and existing Sable Offshore Energy Inc. reserves," said Tom O’Connor, president of M&N Management Co., the managing member of Maritimes.

"Maritimes is uniquely situated to take full advantage of new reserve developments from offshore Atlantic Canada," O’Connor said. "By 2004, Maritimes anticipates transporting up to one billion cubic feet per day on its system. Moreover, firm capacity commitments are now in hand for approximately 800 million cubic feet per day (mmcf/d). We believe the Maritimes Phase III Extension and HubLine will be an attractive path to the market."

On June 19, Maritimes and PanCanadian Petroleum signed firm-service agreements to transport up to 400 mmcf/d of natural gas from the PanCanadian-owned Deep Panuke project offshore Nova Scotia. Maritimes proposes to expand its mainline in order to transport the PanCanadian volumes. The Phase IV expansion provides a timely opportunity for both suppliers and consumers of natural gas to indicate their interest in transportation capacity on the Maritimes system.

"Through the addition of cost-effective mainline compression and looping, Maritimes is able to economically expand its existing system to further serve current and future markets," said Phillip Knoll, president of Maritimes & Northeast Pipeline, L.P. "Because of this low cost expansion capability, Maritimes’ shippers can be assured of competitive rates."

The project sponsors of Maritimes & Northeast Pipeline are Duke Energy (37.5 percent), Westcoast Energy Inc. (37.5 percent), ExxonMobil (12.5 percent) and Emera Inc. (12.5 percent). Maritimes has headquarters in Halifax, Nova Scotia; and Boston, Mass.

For more information, contact Maritimes on the Internet in the United States at www.mnp-usa.com and in Canada at www.mnpp.com.

Contact: John Sheridan, Maritimes & Northeast Pipeline, L.L.C. (United States)
Phone: 617/560-1444
24 Hour Phone: 704/382-8333
Email: jpsheridan@duke-energy.com
Contact: Stephen Rankin, Maritimes & Northeasst Pipeline, L.P. (Canada)
Phone: 902/425-4474
24 Hour Phone: n/a
Email: n/a