Duke Energy Corporation (Holding Company) · NYSE:DUK
Duke Energy Corporation (Holding Company) — Duke Energy Analyst Conference 2003
14 slides from Duke Energy Corporation (Holding Company)'s conference presentation, May 30, 2003
Slide 1: Duke Energy Gas Transmission
Duke Energy Gas Transmission Tom O’Connor President
Slide 2: Disclosures
Disclosures Safe Harbor Statement Under the Private Securities Litigation Act of 1995 This document contains forward looking information which is subject to risks and uncertainties, including, but not limited to, changes in the utility regulatory environment, the impact of competition from other ene
Slide 3: Duke Energy Gas Transmission System
Duke Energy Gas Transmission System BC Pipeline PNG Union Gas Service Area Maritimes & Union Northeast Gas Vector Algonquin 2002 Natural Gas Patriot Transmission Deliveries 2.6 Tcf Texas Extension Eastern Storage 256 Bcf Miles of Transmission Pipe 18,200 East Miles of Distribution Pipe 16,500 Tennes
Slide 4: Near-Term Strategy
Near-Term Strategy Produce superior financial results through increased productivity and balanced growth Provide superior customer service Accelerate and capture efficiencies Optimize and sweat existing assets Complete approved expansion build outs Develop new high-return expansion project
Slide 5: Distribution of Earnings
Distribution of Earnings Forecasted 2003 EBIT Union BC Pipes M&NE & FS Other * MHP ETNG TETLP AGT * Other includes Gulfstream, Foothills, PNG, Vector, Misc. 5
Slide 6: Pipelines: Stable Earnings Supported by Long-Term Contracts
Pipelines: Stable Earnings Supported by Long-Term Contracts • 95+% of revenue from demand payments • U.S. pipelines contract terms average 9 years • B.C. Pipeline has minimal re-contracting risk Average Contract Term 15 10 Years 5 0 T BC E T NG TE AG &N ET 6 M
Slide 7: Financial Performance — EBIT vs. CapEx
Financial Performance — EBIT vs. CapEx $1,800 EBIT $1,500 Expansion CapEx Maintenance CapEx $1,200 $ in millions $900 $600 $300 $0 1995 1996 1997 1998 1999 2000 2001 2002 2003 Actual Forecast Note: CapEx excludes acquisitions of ETNG($400 million) and MHP($250 million) in 2000, Westcoast ($1.7 billi
Slide 8: Growth Opportunities – Natural Gas Supply / Demand Change (Bcf/d)
Growth Opportunities – Natural Gas Supply / Demand Change (Bcf/d) 2.7 BC/NWT Sable 2.0 Midwest Northeast 25 25 West 20 20 25 15 20 15 10 15 10 5 10 5 0 5 0 2001 2015 0 25 2001 2015 South 2001 2015 20 Atlantic South 25 15 Central 20 2015 Consumption 10 5 15 2001 Consumption 10 0 5 2001 – 2015 2001 20
Slide 9: Gulfstream Extension
Gulfstream Extension Gulfstream Provides: • FPL to build • Transportation competition / GA supply reliability additional 1,900 MW for • Capacity for future growth 2005 FL • 23-year firm transportation agreement / 350 MMcf/d • 110-mile mainline extension to Gulfstream Martin plant, Manatee 30-inch di
Slide 10: East Coast Initiatives
East Coast Initiatives ME Maritimes Boston • De-bottlenecking M&NE Extension NY Algonquin MA constrained markets • Increasing market Dawn CT Hub PA HubLine IL IN OH New NJ York access and supply Texas Eastern Islander East diversity KY Saltville VA PA • Low cost future TN NC Patriot expansions SC Ex
Slide 11: BC Pipeline Initiatives
BC Pipeline Initiatives Kwoen / Grizzly T-South ALASKA Capacity 104 MMcf/d 200 MMcf/d In–Service 2002-2003 2003 YUKON • Growth in gas N.W.T supply and demand B.C. • Asset optimization • Managing capacity BC Gas ALBERTA FORT ST. JOHN KWOEN KWOEN // GRIZZLY GRIZZLY PNG T-SOUTH T-SOUTH EXPANSION EXPANS
Slide 12: Storage Initiatives
Storage Initiatives Dawn Dawn Hub Hub Current Current Capacity Capacity 150 150 Bcf Bcf Maritimes M&NE Extension HubLine Saltville Saltville Algonquin Planned Planned Capacity Capacity 99 Bcf Bcf Islander East Ownership Ownership 50% 50% Texas Eastern Patriot Moss Moss Bluff Bluff Ext. Current Curre
Slide 13: Conclusion
Conclusion DEGT’s strategy will provide predictable growth with increasing cash flow Near-term growth opportunity drivers Positioned for low-capital / high-return growth Solid base for continued growth Portfolio increases opportunities / reduces risk 13
Slide 14: Duke Energy Gas Transmission System
Duke Energy Gas Transmission System 2002 Natural Gas Transmission Deliveries 2.6 Tcf Storage 256 Bcf Miles of Transmission Pipe 18,200 Miles of Distribution Pipe 16,500 DEGT Pipelines Storage Union Gas Service Area Unaffiliated Pipeline 14