News Release
March 01, 2001

DUKE ENERGY: MISSOURI POWER GENERATION STATION SALE ANNOUNCED

HOUSTON – Duke Energy North America (DENA) today announced the sale of its 100-percent interest in a 640-megawatt power plant under construction in Audrain County, Mo., to NRG Energy Inc. for an undisclosed sum. The sale of DENA's Audrain Generating Station is expected to close by the end of the first quarter, pending regulatory approval.

The peaking plant will provide wholesale or "merchant" power during times of critical demand. Construction of the simple-cycle, natural gas-fired facility began in May 2000. Audrain Generating Station is one of six merchant facilities DENA will bring on line by this summer. The other facilities are located in Arizona, Illinois, Oklahoma and two in Mississippi that together total approximately 3,400 megawatts.

"The sale of the Audrain facility is consistent with Duke Energy’s portfolio management approach to business," said Jim Donnell, DENA president and CEO. "Our ability to actively manage our portfolio of assets and trading positions, enhances the efficiency in which we recycle capital across Duke Energy to support our ongoing development and business endeavors.

We’re on target to deliver upward of 50 generation facilities, totaling more than 26,000 megawatts by summer 2004, and remain focused on our commercial objective of building regional energy businesses in the high-demand regions of North America."

The Audrain facility was designed and is being built by Duke/Fluor Daniel (D/FD). Duke Engineering & Services provided interconnection services.

DENA is Duke Energy’s Houston-based merchant energy company. Currently, DENA’s merchant portfolio includes 6,200 megawatts of generation located in the western, midwestern and eastern regions of the United States and more than 7,400 megawatts under construction.

Duke Energy, a diversified multinational 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 more than $49 billion in 2000. 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
Phone: 713/627-5719
24 Hour Phone: 704/382-8333
Email: jmpierce@duke-energy.com