UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

~~Washington~~WASHINGTON, D.C. 20549

FORM 8-K

CURRENT REPORT

~~Pursuant to~~PURSUANT ~~Section~~TO SECTION 13 orOR 15(d) of ~~the~~OF THE

~~Securities Exchange~~SECURITIES ~~Act~~EXCHANGE ofACT OF 1934

Date of Report (Date of earliest event reported): January 17, ~~December~~2007 22(January 17, ~~2006~~2007)

~~DUKE~~ SPECTRA ENERGY ~~CORPORATION~~CAPITAL, LLC

(Exact Name of Registrant as Specified in its Charter)

Delaware	10-~~32853~~23977	2051-~~2777218~~0282142
(State or Other Jurisdiction	(Commission	(IRS Employer
(State or Other Jurisdiction of Incorporation)	(Commission File Number)	(IRS Employer Identification No.)
of Incorporation)	File Number)	Identification No.)

526 South Church Street, Charlotte, North Carolina 28202-1904

(Address of Principal Executive Offices, including Zip code)

(704) 594-6200

(Registrant’s telephone number, including area code)

SPECTRA ENERGY CORP

(Exact Name of Registrant as Specified in its Charter)

Delaware	1-33007	20-5413139
(State or Other Jurisdiction	(Commission	(IRS Employer
of Incorporation)	File Number)	Identification No.)

5400 Westheimer Court, Houston, Texas 77056

(Address of Principal Executive Offices, including Zip code)

(713) 627-5400

(Registrant’s telephone number, including area code)

~~DUKE CAPITAL~~Duke Capital LLC

(~~Exact~~Former ~~Name~~name ~~of Registrant~~or asformer ~~Specified~~address, inif ~~its~~changed ~~Charter~~since last report)

Delaware		0-23977		51-0282142
(State or Other Jurisdiction of Incorporation)		(Commission File Number)		(IRS Employer Identification No.)

526 South Church Street, Charlotte, North Carolina 28202-1904

(Address of Principal Executive Offices, including Zip code)

(704) 594-6200

(Registrant’s telephone number, including area code)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

o ¨ Written communications pursuant to Rule 425 under the Securities Act (17 ~~CFR~~ CFR 230.425)

o ¨ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

o ¨ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

o ¨ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240. 13e-4(c))

~~Item~~ ITEM 8.01. Other Events

AsThis ~~Spectra~~Current ~~Energy~~Report ~~Corp~~on ~~(“Spectra~~Form ~~Energy”~~8-K oris ~~the “Company”)~~being ~~has~~filed ~~previously disclosed, in conjunction with Duke Energy Corporation’s (“Duke Energy”) separation of its natural gas businesses (the “Separation”)~~ to ~~Spectra~~recast ~~Energy,~~ Spectra Energy ~~will retain responsibilities for the outstanding litigation associated with Sonatrach and Citrus Trading Corporation (“Citrus”). Duke Energy LNG Sales Inc. (“Duke LNG”)~~Capital, anLLC’s ~~indirect subsidiary of~~ (Spectra Energy ~~after the Separation~~Capital, ~~claims~~formerly in an arbitration commenced in January 2001 in London that Sonatrach, the Algerian state-owned energy company, together with its subsidiary, Sonatrading Amsterdam B.V. (Sonatrading), breached their shipping obligations under a liquefied natural gas (“LNG”) purchase agreement and related transportation agreements (the “LNG Agreements”) relating to Duke ~~LNG’s~~Capital purchase of LNG from Algeria and its transportation by LNG tanker to Lake Charles, Louisiana. In conjunction with the LNG Agreements, Duke LNG entered into a natural gas purchase contract (the “Citrus Agreement”) with Citrus. Citrus is owned 50% by El Paso and 50% by CCE Holdings. CCE Holdings is owned 50% by Southern Union, 30% by EFS-PA, LLC ~~(a subsidiary of General Electric~~), ~~and~~previously ~~20%~~issued byfinancial ~~other~~statements ~~institutional~~as ~~investors.~~presented ~~Citrus filed a lawsuit~~ in ~~March~~ ~~2003~~Spectra inEnergy the U.S. District Court for the Southern District of Texas against Duke LNG and PanEnergy Corp alleging that Duke LNG breached the Citrus Agreement by failing to provide sufficient volumes of gas to Citrus. Duke LNG contends that Sonatrach caused Duke LNG to experience a loss of LNG supply that affected Duke LNGCapital’s ~~obligations and termination rights under the Citrus~~original ~~Agreement.~~Form ~~Citrus~~10-Q seeks monetary damages and a judicial determination that Duke LNG did not experience such a loss. After Citrus filed its lawsuit, Duke LNG terminated the Citrus Agreement and filed a counterclaim asserting that Citrus had breached the agreement by, among other things, failing to provide sufficient security under a letter of credit for the ~~gas~~quarter ~~transactions.~~ended Citrus denies that Duke LNG had the right to terminate the agreement and contends that Duke LNG’s termination of the agreement was itself a breach, entitling Citrus to terminate the agreement and recover damages in the amount of approximately $190 million (excluding interest). The Court has made rulings regarding the issues of fact and law that remain for trial, and the case is scheduled for a jury trial to commence in January 2007. The final hearing on damages in the Sonatrach matter was concluded in March ~~2006~~ 31, ~~and the tribunal issued its award on damages on November 30,~~ 2006. ~~Duke LNG was awarded approximately $23 million~~ for ~~Sonatrach’s breach of its shipping obligations. Sonatrach and Sonatrading were awarded a smaller but unspecified amount that will, when calculated, be substantially less than~~ the ~~$23~~following ~~million~~events: awarded to Duke LNG, and result ultimately in a net positive, but immaterial, award to Duke LNG. In December 2006, Duke LNG made an offer to Citrus to settle the Citrus matter. At present, no response to the settlement offer has been received from Citrus and it is not possible to predict the ultimate outcome of the Citrus matter. In December 2006, Duke Capital will recognize a reserve in the amount of $45 million.

In• ~~December~~On April 1, 2006, in connection with Duke Energy ~~and~~Corporation’s (Duke ~~Capital~~Energy) ~~have had~~merger ~~discussions~~ with aCinergy ~~potential~~Corp. ~~buyer~~(Cinergy), ofDuke ~~their~~Energy ~~assets~~transferred ~~in Bolivia. Such discussions to sell~~ the ~~Bolivian~~operations ~~assets~~of ~~are~~Duke ~~subject~~Energy ~~to a binding agreement between the parties~~Merchants, ~~which~~LLC isand ~~expected~~Duke inEnergy ~~the~~Merchant ~~near future; however~~Finance, ~~based~~LLC ~~upon~~(collectively ~~the~~DEM) ~~sales price~~to ~~included~~Spectra ~~in these discussions, management of Duke~~ Energy ~~and Duke~~ Capital ~~anticipate~~. ~~recognizing~~As a ~~pretax~~result ~~impairment~~ of ~~the~~these ~~Bolivian~~transfers, ~~assets~~prior inperiod ~~December 2006~~amounts inhave ~~the~~been ~~amount~~retrospectively ofadjusted ~~approximately~~to ~~$50~~include ~~million. The~~the ~~Bolivian~~results ~~investments are~~of ~~included~~operations, infinancial ~~the~~position ~~businesses~~and tocash beflows ~~transferred~~related ~~from Duke Capital~~ to ~~Duke Energy~~DEM inas ~~connection~~these ~~with~~transactions ~~the~~represent ~~Separation~~a ~~and,~~transfer ~~therefore,~~of ~~will~~assets ~~not~~between beentities ~~a component~~under ofcommon ~~Spectra Energy’s ongoing operations.~~control;

2• In April 2006, Spectra Energy Capital indirectly transferred to Duke Energy Ohio, Inc. (Duke Energy Ohio), a subsidiary of Cinergy, its ownership interest in Duke Energy North America’s (DENA’s) Midwestern assets, representing a mix of combined cycle and peaking plants, with a combined capacity of approximately 3,600 megawatts (MWs). The results of operations for DENA’s Midwestern assets prior to the transfer date have been reflected as discontinued operations in the accompanying Consolidated Statements of Operations; and

~~SIGNATURE~~• In conjunction with Duke Energy’s merger with Cinergy, effective with the second quarter ended June 30, 2006, Spectra Energy Capital adopted new business segments to reflect the various operations of Spectra Energy Capital with how the chief operating decision maker views the business. This change resulted in the creation of a Commercial Power business segment which includes DENA’s Midwestern operations up to April 3, 2006, at which time the Midwestern assets were transferred to Duke Energy Ohio, and DENA’s Southeastern operations until they were sold. Prior period segment information has been retrospectively adjusted to conform to the new segment structure.

~~Pursuant~~• toCertain ~~the requirements~~other ofsignificant ~~the~~subsequent ~~Securities~~events, ~~and~~as ~~Exchange~~discussed ~~Act~~in ofNote ~~1934~~19, ~~the~~“Subsequent ~~registrants~~Events,” ~~have duly caused this report~~ to bethe ~~signed~~Consolidated onFinancial ~~their~~Statements, ~~behalf~~have byalso ~~the~~been ~~undersigned hereunto duly authorized~~updated.

	DUKE ENERGY CORPORATION
Date: December 22, 2006	By:	/s/Steven K. Young
	Name:	Steven K. Young
	Title:	Vice President and Controller

This Current Report on Form 8-K does not reflect the financial statement impact of Spectra Energy Capital’s distribution of certain subsidiaries to Duke Energy Corporation on December 30, 2006, which included the Commercial Power, International Energy and Crescent segments and other operations not related to the gas business (see Note 19 to the Consolidated Financial Statements).

	SPECTRA ENERGY CORP
Date: December 22, 2006	By:	/s/Sabra L. Harrington
	Name:	Sabra L. Harrington
	Title:	Vice President and Controller

Other than as discussed above, this Current Report on Form 8-K does not update or modify in any way the financial position, results of operations, cash flows or the disclosures in Spectra Energy Capital’s Quarterly Report on Form 10-Q for the quarter ended March 31, 2006. Additionally, events occurring after the original filing date of May 15, 2006 have been included in Note 19 to the Consolidated Financial Statements. Items of Spectra Energy Capital’s Quarterly Report on Form 10-Q for the quarter ended March 31, 2006, which are not affected by the matters discussed above, have been omitted from this amendment. Accordingly, this Form 8-K should be read in conjunction with the original Form 10-Q and Spectra Energy Capital’s filings made with the Securities and Exchange Commission subsequent to the filing of the original Form 10-Q, including any amendments to those filings.

	DUKE CAPITAL LLC
Date: December 22, 2006	By:	/s/Steven K. Young
	Name:	Steven K. Young
	Title:	Chief Financial Officer and Controller

3ITEM 9.01. Financial Statements and Exhibits.

(d) Exhibits.


Exhibit Number
99.1		Spectra Energy Capital, LLC unaudited financial statements for the quarter ended March 31, 2006:
		Part I, Item 1: Financial Statements
		Part I, Item 2: Management’s Discussion and Analysis of Results of Operations and Financial Condition
		Part I, Item 3: Quantitative and Qualitative Disclosures About Market Risk

SIGNATURE

Pursuant to the requirements of the Securities and Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.


Date: January 17, 2007	SPECTRA ENERGY CAPITAL, LLC (Registrant)

	By:	/s/ WILLIAM. S. GARNER, JR.
		William S. Garner, Jr. Vice President, General Counsel and Secretary

EXHIBIT INDEX


Exhibit Number
99.1		Spectra Energy Capital, LLC unaudited financial statements for the quarter ended March 31, 2006:
		Part I, Item 1: Financial Statements
		Part I, Item 2: Management’s Discussion and Analysis of Results of Operations and Financial Condition
		Part I, Item 3: Quantitative and Qualitative Disclosures About Market Risk

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