Acquisition

Centrica PLC
Enquiries:                       
Centrica Investor Relations, 01753 494900              
Centrica Media Relations, 01753 494085
                  

             Centrica acquires Alberta based gas producer

Centrica today announced that its North American business unit Direct Energy has
agreed to acquire Canadian natural gas producer Quintana Minerals Canada
Investments Corp. for C$51.5 million (£21.1 million) in cash. The transaction is
expected to complete by 31 May.

The purchase of the Calgary based business follows Centrica's announcement on 26
April that it will complete the acquisition of the retail gas and electricity
business of the ATCO group in Alberta on 4 May, 2004, adding approximately one
million customers.

Quintana has a natural gas portfolio in north central and east central Alberta,
with proven reserves of 16.2 bcf and proven plus probable reserves of 19.4 bcf.
Quintana's current net production will increase Direct Energy's existing
production by 11 per cent.

Centrica Chief Executive Sir Roy Gardner said: 'Our strategic purchase of
Quintana will give us greater supply control and flexibility to meet our North
American customer demand, currently maintaining our ability to supply around 20
per cent of our retail gas needs from our own production.'