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EQUITABLE RESOURCES ANNOUNCES ACQUISITION OF LOUISIANA INTRASTATE GAS CORPORATION

 PITTSBURGH, May 5 /PRNewswire/ -- Equitable Resources, Inc. (NYSE: EQT) announced today that a subsidiary, Equitable Pipeline Company, has entered into an agreement to acquire Louisiana Intrastate Gas Corporation (LIG) from Arkla, Inc. for approximately $190 million.
 The pipeline company is a subsidiary of Equitable Resources Marketing Company, another Equitable subsidiary.
 The closing is expected to take place within 60 days, subject to regulatory approval and other closing requirements.
 LIG owns a major intrastate pipeline system in Louisiana, four large natural gas processing plants, and is also engaged in gas marketing. The system is among the most extensive in Louisiana, consisting of approximately 1,900 miles of pipeline, hundreds of receipt and delivery points, and access to gas supplies and both intra and interstate markets through over 100 interconnections with other pipelines. It has a throughput capacity of approximately 1.5 billion cubic feet per day of natural gas; current throughput is approximately 40 percent of that amount.
 Equitable's officials said the acquisition extends the company's recent diversification into the Gulf Coast region, where it is already a producer and marketer of natural gas. More importantly, they said, LIG will become the main component in establishing a "hub" of natural gas services in the Gulf area. These would include supply aggregation, transmission, gas processing, and eventually gas storage -- a structure similar to Equitable's diversified operations in the Appalachian region.
 Richard Riazzi, president of Equitable's marketing company, called hubs the "building blocks" of the restructured gas market being created by the Federal Energy Regulatory Commission Order 636. "Companies that control hubs have a substantial base for expansion and development of business opportunities in those areas."
 Riazzi said that Equitable's plans for its new acquisition include the aggressive pursuit of gas supply, further penetration of the area's natural gas markets, and significant expansion of the company's involvement in the processing of natural gas liquids. LIG's four processing plants have a combined processing capacity of nearly 1/2 Bcf of natural gas per day with liquid production in excess of 200 million gallons per year. Currently, Equitable produces approximately 65 million gallons per year.
 Approximately 180 people are employed by LIG, and it is anticipated that a substantial majority will be offered employment.
 Equitable Resources, Inc. (NYSE: EQT) is a diversified energy production and utility services company which, through its Energy Resource segment, explores for, produces and markets natural gas and oil in the Appalachian Basin, Rocky Mountain, Southwest and offshore Gulf of Mexico regions of the United States, as well as in Colombia, South America.
 -0- 5/5/93
 /CONTACT: Brian Plante of Equitable Resources, 412-553-5911/
 (EQT)


CO: Equitable Resources, Inc.; Equitable Pipeline Company; Louisiana
 Intrastate Gas Corporation; Arkla, Inc. ST: Louisiana, Pennsylvania IN: OIL SU: TNM


CD -- PG009 -- 4890 05/05/93 13:01 EDT
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Publication:PR Newswire
Date:May 5, 1993
Words:463
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