NGC to build Cameron barge-loading facility.

HOUSTON--(BUSINESS WIRE)--Oct. 10, 1996--NGC Oil Trading and Transportation, Inc. (NOTTI), a subsidiary of NGC Corporation, has begun construction on a condensate transportation and terminalling system to handle condensate volumes from the Johnson's Bayou area in Cameron Parish, La. NOTTI will construct a new barge-loading facility on the Intracoastal Waterway near Orange, Texas, and will convert an existing pipeline to condensate service. The pipeline extends from Johnson's Bayou to the new facility, which is expected to be in service during the first quarter of 1997.

"With this new facility, NOTTI is broadening the condensate marketing outlets and offering Cameron-area producers competitive rates, an existing pipeline, and a new terminalling facility on the Intracoastal Waterway that allows loading of maximum-size barges capable of moving to all strategic markets along the Waterway," said Wayne Bartel, vice president and general manager of NOTTI. "The project is a logical expansion of NOTTI's more than 100,000 barrel-per-day crude business."

The new facility will bring much-needed condensate marketing capacity to the quickly growing Johnson's Bayou/Cameron, La., offshore area, where several gas processing plants have facilities to separate condensate from natural gas volumes moved on five key offshore gas pipeline systems: UTOS, HIOS, Stingray, Pelican and Transcontinental North High Island. Through other subsidiaries, NGC has a strong presence in the area through its ownership of the Stingray and Barracuda gas processing plants, as well as ownership of the Pelican Pipeline.

"As a natural complement to NOTTI's and other NGC facilities in the area, this facility is a strong example of our Energy Store concept at work. With our presence in the area, we have the ability to gather offshore gas production, process that gas, and market the condensate and the natural gas," said James H. Current, senior vice president of NGC.

The new facility will have 100,000 barrels of storage, and the ability to load more than 20,000 barrels per day of condensate to barges capable of handling approximately 40,000 barrels, which is the maximum size that can move on the Intracoastal Waterway.

Later this year, NOTTI will file a competitive tariff with the Federal Energy Regulatory Commission for condensate transportation on the system.

NOTTI began expanding its presence in the Cameron Parish area with the acquisition earlier this year of the Grand Lake Liquids System, which includes 20 miles of pipeline, 100,000 barrels of crude oil storage and a barge loading dock.

NGC Corporation (NYSE:NGL) is a leading gatherer, processor, transporter and marketer of energy products and services in North America and the United Kingdom. Through its "Energy Store," NGC offers a multi-commodity energy-product-and-services resource that provides natural gas, natural gas liquids, electricity and crude oil. -0-

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