El Paso Exploration & Production Co., a subsidiary of El Paso Corp., Houston, (NYSE: EP) has acquired Houston-based Peoples Energy Production Co., a subsidiary of Integrys Energy Group, Chicago, (NYSE: TEG) for $879 million in cash. Peoples Energy has more that 600 proved and probable locations in ArkLaTex, Texas Gulf Coast, San Juan Basin, Mississippi and the Arkoma Basin. Production is 72 million cubic feet of gas equivalent per day. Proved reserves are 305 billion cubic feet equivalent (94% gas, 42% proved developed producing).