Tengasco Inc. (Amex: TGC), Knoxville, Tenn., and its Tengasco Pipeline Corp. subsidiary lined up $5.6 million of financing with a special-purpose lender to construct the second phase of the Swan Creek pipeline system. The facility has a five-year term at 10.75% interest and requires payment of interest only for the first six months. The agreement carries no prepayment penalty. The lender will receive a throughput fee of 10 cents per million Btu while the loan is outstanding. It was formed to provide special-purpose financing by certain Tengasco directors, who committed the necessary capital. Tengasco also announced that it has executed a term sheet with Bank One in Houston for a $20-million senior note secured by substantially all of the integrated natural gas company's producing properties. Duke Energy Field Services LLC, Denver, registered with the SEC to offer up to $2 billion of debt. The midstream natural gas company holds the combined gas gathering, storage, marketing and natural gas liquids businesses of Phillips Petroleum Co. (NYSE: P) and Duke Energy Corp. (NYSE: DUK). Net proceeds of any offering under this shelf registration would be used for repayment of other debt, capital expenditures, future acquisitions, advances to subsidiaries, additions to working capital and other general corporate purposes. DEFS would issue new debt under this shelf under its indenture with Chase Manhattan Bank. Fossil Bay Resources Ltd. (Canadian Venture: FBR), Houston, plans to complete a short-term financing by issuing $5 million of secured notes. The Houston independent producer will use proceeds to finance its recent takeover of Blue Sky Resources Ltd. The debt will bear interest at prime plus 2%, and lenders will receive an up-front fee of 8% of principal. Both the fees and the interest will be payable in Fossil Bay stock priced a C40 cents per common share. The debt will be repayable in a year and will be secured by Blue Sky shares that Fossil Bay owns.