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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 earliest event reported: January 6, 1995
K N ENERGY, INC.
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(Exact name of registrant as specified in its charter)
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Kansas 1-6446 48-0290000
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(State or other (Commission (IRS Employer
jurisdiction of File Number) Identification No.)
incorporation)
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370 Van Gordon Street, P.O. Box 281304, Lakewood, CO 80228-8304
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(Address of principal executive offices) (Zip Code)
Registrant's telephone number, include area code: (303) 989-1740
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Item 5: Other Events
On January 6, 1995 an affiliate of K N Energy, Inc. announced
it's proposed acquisition of certain gas gathering and gas
storage assets located in Texas from affiliates of Meridian
Oil, Inc., and reference is hereby made to the press release
dated January 11, 1995, which is filed herewith as an exhibit
and incorporated herein by this reference.
Item 7: Financial Statements, Pro-Forma Financial Information and Exhibits
(a) Financial Statements - None
(b) Pro-Forma Financial Statements - None
(c) Exhibits
99.1 Press release dated January 11, 1995
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SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934,
the Registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
K N ENERGY, INC.
By: /s/ William S. Garner, Jr.
William S. Garner, Jr.
Vice President, General Counsel
and Secretary
Date: January 11, 1995
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EXHIBIT INDEX
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Exhibit
Number Exhibit Description
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99.1 Press release dated January 11, 1995.
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K N ENERGY SUBSIDIARY TO ACQUIRE PIPELINE AND STORAGE SYSTEMS
Lakewood, CO - K N Energy, Inc. (NYSE - KNE) today announced that its
Texas-based gas transmission affiliate, AOG Gas Transmission Company, L.P., has
reached agreement to acquire natural gas transmission pipeline and gas storage
assets in Texas from subsidiaries of Meridian Oil Inc., a subsidiary of
Burlington Resources Inc.
The assets include two West Texas pipeline systems, comprised of 347 miles of
mostly 16-inch and 20-inch pipe and related compression facilities, which are
currently connected to AOG's core pipeline system. In addition, surface
facilities, lease rights and approximately 10.8 billion cubic feet of gas in
storage in a leased, Gulf Coast Storage field will be acquired. AOG will also
acquire the remaining 50 percent interest it did not previously own in a
90-mile, 20-inch joint venture pipeline near Midland, Texas.
The total purchase price of the assets is $80.1 million, which will be adjusted
downward based on the actual volume of gas in storage at closing.
The two major West Texas pipeline systems being acquired are the Morgan Creek
Pipeline and the MoTrans Pipeline. Morgan Creek serves major customers in West
Texas and interconnects with nine intrastate and interstate pipelines,
including AOG, in the Waha area. The MoTrans Pipeline serves various markets
in and near El Paso, Texas. The assets will connect AOG's pipelines and
storage to previously unserved facilities of existing AOG customers. The
Company will be able to provide enhanced services to these customers while
offering more diverse services to a range of new customers.
As a result of the 1994 merger of AOG into K N Energy, this acquisition
provides the Company incremental opportunity to benefit from the complementary
nature of its gas demand profiles, which provide heating demand peaks in winter
and irrigation and electric generation demand peaks in summer. In addition, the
Company will expand its presence in the major Texas Gulf Coast natural gas
marketplace. The acquisition reflects K N Energy's strategy to build on its
extensive Rocky Mountain, Mid-Continent and Texas natural gas pipeline systems.
The purchase is expected to close in the first quarter of 1995. K N Energy
expects to utilize lease and short-term debt financing arrangements to finance
the acquisition.
END
Release Date: Immediate Release-Wednesday, January 11, 1995
Contact: Dick Buxton - (303) 763-3472
Dave Loiseau - (303) 763-3494
