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SECURITIES AND EXCHANGE COMMISSION
Washington, D.C.
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)
August 4, 1997
ENSERCH EXPLORATION, INC.
(Exact name of Registrant as specified in its charter)
Texas 1-11413 75-2556975
(State or other (Commission (I.R.S. Employer
jurisdiction of File Number) Identification No.)
incorporation)
6688 N. Central Expwy., Ste. 1000, Dallas, TX 75206-3922
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including Area Code: 214-692-4300
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ITEM 5. Other Events
Set forth below in its entirety is a News Release issued by
Enserch Exploration, Inc. on August 4, 1997:
ENSERCH EXPLORATION FORESEES A
DOWNWARD RESERVE REVISION
DALLAS, TEXAS (August 4, 1997) -- As part of its
ongoing restructuring program, Enserch Exploration
(NYSE--EEX) working with its outside reserve engineers,
DeGolyer & MacNaughton, is conducting a review and
evaluation of the commercial feasibility of its non-
producing oil and gas properties. Based upon this
preliminary evaluation, the Company expects a material
downward revision of its oil and natural gas reserves,
primarily in its behind pipe and proved undeveloped
reserves in East Texas and its proved undeveloped
reserves in the deep-water Gulf of Mexico. While
additional analysis is required and is currently in
progress, it is anticipated at this time that the
amount of the downward revision of its proven non-
producing reserves will fall within a range of 500
billion cubic feet equivalent (Bcfe) and 700 Bcfe.
This downward reserve revision will not affect the
Company's current cash flow. Also, because the
revision is expected to only impact behind pipe and
undeveloped reserves, the value impact will be offset
to an extent by the elimination of the capital costs
associated with these reserves and thus is not expected
to be proportionate to the reserve revision. EEX
anticipates that this evaluation and the determination
of both the extent of the revision and the financial
impact on the Company will be completed by the end of
the third quarter.
Enserch Exploration is a natural gas and oil
exploration and production company with activities
focused in Texas and the Gulf of Mexico.
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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 thereunto duly authorized.
Enserch Exploration, Inc.
Date: August 4,1997 By: /s/ R. E. Schmitz
R. E. Schmitz, Vice President
