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Gold/Mining/Energy : Enron - Natural Gas Industry -- Ignore unavailable to you. Want to Upgrade?

To: James Calladine who wrote (751)	11/28/2001 8:45:04 AM
From: James Calladine	Respond to of 1433

Dynegy Completes $600 Mln Purchase of U.K. Gas Storage Assets By Mark Johnson Houston, Nov. 28 (Bloomberg) -- Dynegy Inc., which is buying rival U.S. energy trader Enron Corp., completed its acquisition of BG Group Plc's U.K. natural gas-storage subsidiary for about $600 million, its first purchase of energy assets in Europe. Dynegy used cash and short-term borrowings to pay for the acquisition, which was announced in July. BG Storage is expected to boost 2002 earnings, Houston-based Dynegy said in a statement. The purchase includes two storage terminals, Rough and Hornsea, which are used by about half of the U.K.'s gas shippers and can store 111 billion cubic feet, Dynegy said. The business also has 19 miles of pipeline and an onshore gas-processing plant in Easington, England. BG Storage's 260 workers will become employees of Dynegy. Dynegy, which trades gas in Germany, the Netherlands, Switzerland and Scandinavia, has said it needs physical energy assets in Europe to support its trading business. Dynegy is in talks to lower the price of its acquisition of Enron, the biggest energy trader, from its current $23 billion in stock and assumed debt. Shares of Dynegy rose $1.64 to $40.89 yesterday. They have fallen 27 percent this year. Enron, also based in Houston, rose 10 cents to $4.11. The stock has plunged 95 percent this year.