UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported) MARCH 20, 1998
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EQUITABLE RESOURCES, INC.
(Exact name of registrant as specified in its charter)
PENNSYLVANIA 1-3551 25-0464690
(State or other jurisdiction (Commission (IRS Employer
of incorporation) File Number) Identification No.)
420 BOULEVARD OF THE ALLIES, PITTSBURGH, PENNSYLVANIA 15219
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code (412) 261-3000
----------------------
NONE
(Former name or former address, if changed since last report)
<PAGE>
ITEM 5. Other Events
Equitable Resources, Inc. (ERI) announced today that its Board of
Directors has authorized management to develop a plan to sell its
natural gas midstream operations located in Louisiana and Texas.
Following a previously disclosed strategic review process, ERI is
planning to divest its midstream/trading operations and to
continue building around its exploration and production business.
The midstream operations include a fully-integrated gas gathering,
processing and storage system in Louisiana and a natural gas and
electric marketing business based in Houston.
ITEM 7. Financial Statements, Pro Forma Financial Information and Exhibits
(c) A press release announcing Board of Directors' approval for
management to develop a plan to sell its natural gas midstream
operations located in Louisiana and Texas is filed as Exhibit 99
to this report.
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of
1934, as amended, the registrant has duly caused this report to be signed on its
behalf by the undersigned, thereto duly authorized.
EQUITABLE RESOURCES, INC.
(Registrant)
By /s/ John A. Bergonzi
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John A. Bergonzi
Corporate Controller
and Assistant Treasurer
March 20, 1998
<PAGE>
EXHIBIT INDEX
Sequential
Exhibit No. Department Description Page No.
99 Press release announcing Board of Directors' 4
approval for management to develop a plan to
sell its natual gas midstream assets located in
Louisiana and Texas
<PAGE>
Exhibit 1
CONTACT: DIANE WUYCHECK - MEDIA
(412) 553-5911
OR
ROBERT ATKINSON - ANALYSTS
(412) 553-5768
DATE: MARCH 20, 1998
FOR IMMEDIATE RELEASE
EQUITABLE RESOURCES TO SELL
ITS NATURAL GAS MIDSTREAM OPERATIONS
PITTSBURGH -- Equitable Resources, Inc. (ERI) announced today that its Board of
Directors has authorized management to develop a plan to sell its natural gas
midstream operations located in Louisiana and Texas. Following a previously
disclosed strategic review process, ERI is planning to divest its
midstream/trading operations and to continue building around its exploration and
production business. The midstream operations include a fully-integrated gas
gathering, processing and storage system in Louisiana and a natural gas and
electric marketing business based in Houston.
"We have significantly added to the value of these midstream operations
during the past three years," said Donald I. Moritz, president and chief
executive officer. "Today, we are focused on further development of our
exploration and production, utilities and energy services businesses."
A transaction resulting in the sale of the midstream operations could
take place as early as the third quarter of 1998.
The sale of the midstream operations is a part of ERI's aggressive
strategy to manage its portfolio of businesses to yield enhanced shareholder
returns. Last year, following an evaluation of alternatives with respect to its
western United States and Canadian exploration and production properties, ERI
sold oil and gas properties for $170 million as a part of its geographic
focusing effort in the Appalachian basin and U.S. Gulf Coast region. Separately,
ERI acquired two producing oil and natural gas fields in the offshore Gulf.
<PAGE>
ERI's principal midstream asset is Louisiana Intrastate Gas Company,
L.L.C. (LIG), which includes a 1,900-mile pipeline system and four natural gas
liquids processing plants. In addition, LIG operates a 67-mile pipeline which
was purchased from the Department of Energy last year. It was integrated into
the LIG system which has more than 100 connections with other pipelines and
access to Louisiana's major industries and gas markets. LIG is also in the
process of expanding one of its liquids processing plants to accommodate
additional contract processing volumes.
As a part of its midstream operations, ERI also owns and operates the
Jefferson Island Underground Gas Storage and Interchange facility, a salt-dome
storage cavern with direct interconnections to seven other pipelines as well as
the Henry Hub. Construction for a second cavern at Jefferson Island is underway
that will, upon completion, double its storage capacity. ERI's Supply & Trading
unit is a part of the midstream operations and engages in the marketing and
trading of natural gas and electricity.
ERI is a fully-integrated energy exploration, distribution, marketing
and energy services company. It offers customized energy solutions to wholesale
and retail customers with innovative products and services from its three
primary business segments -- ERI Supply & Logistics, ERI Utilities and ERI
Services.
Equitable Resources, Inc. stock is traded under the symbol, EQT.
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EQUITABLE RESOURCES' RECENT NEWS RELEASES ARE AVAILABLE FREE OF CHARGE
BY FAX THROUGH COMPANY NEWS ON CALL AT 1-800-758-5804,
EXT. 289250, OR ON THE INTERNET AT HTTP://WWW.ERI2000.COM
