Enogex Completes 1st Phase of New Pipeline Project in Woodford Shale

Enogex Inc., a subsidiary of OGE Energy Corp. reported announced that construction has been completed on the first phase -- 22 miles -- of a new 30-mile pipeline project that will connect the company's Hughes, Coal and Pittsburgh county gathering system with the 30-inch Enogex mainline pipeline to Bennington, Okla., and the 24-inch Enogex mainline pipeline to Wilburton, Okla.

The company has recently committed approximately $50 million to expansions in this area and expects its latest expansion project to be in service by the third quarter of 2008. The company is continuing to develop other projects in the area.

The gathering project creates additional gathering capacity of 125 million cubic feet per day (MMcf/d) for customers desiring low-pressure services with the potential to double this amount with incremental compression investments. The pipeline will be complemented by approximately 20,000 horsepower of compression providing reliable gathering and take-away capacity for its Woodford Shale customers.

Woodford Shale-area natural gas producers now have access to 350 MMcf/d to 500 MMcf/d of existing take-away capacity on Enogex's mainline pipeline.

"Our customers expect secure gas take-away and reliable operations," said Keith Mitchell, senior vice president and chief operating officer of Enogex. "We have recently made a significant investment in gathering infrastructure, providing increased access to our existing transmission system that will help us serve our customers active in the Woodford Shale area of eastern Oklahoma. We are committed to providing capacity to gather and move gas for our customers in the Woodford Shale to attractive markets both on our system and on the recently announced Midcontinent Express Pipeline and Gulf Cross Pipeline projects connecting to our Bennington Station."