ASIA PACIFIC

Duke Energy's primary focus in the region is Australia. In less than a year, DEI became the first energy merchant in Australia, with a portfolio of gas and power assets and a trading and marketing business. No other company has this mix of assets and capabilities. Building upon its initial position in Queensland Gas Pipeline in 1999, DEI acquired 400 MW of generation and an interest in a pipeline from BHP Power. It followed with the launch of Eastern Gas Pipeline, which will change the competitive landscape in Australia by introducing competition and increasing reliability in time for the 2000 Summer Olympic Games in Sydney.

But Duke Energy wasn't content to wait for the pipeline to be complete. Capitalizing on its core trading and marketing and risk management skills, DEI is already providing customers competitive energy services and tools, enabling these customers to manage their energy needs in a newly competitive environment.

---