Huntsman Corp., a Texas-based chemical company with $5 billionin revenues, selected Reliant Energy to supply gas to 10manufacturing facilities for $250 million. For competitive reasons,Reliant did not disclose the length of the contract or how much gaswill be supplied. It did say the contract has already gone intoservice.

The deal will account for 98% of Huntsman’s domestic gasconsumption and it makes the chemical company Reliant’s largestnatural gas client. Reliant will use five intrastate pipelines todeliver gas to the 10 plants, which are spread across the state.

“We think this is about as big a deal as a gas supply dealgets,” said Sandy Fruhman. “We are talking about a huge amount ofmoney for a contract which is under five years in length.”

Reliant pointed to its long-lasting relationship with Huntsmanas the major reason for the agreement. Reliant and Huntsman haveworked together since 1971.

Huntsman Corp. manufactures basic products for the chemical,plastics, detergent, personal care, rubber and packagingindustries. Fruhman said the supply deal represents extensions ofold contracts and the start of service to Huntsman’s newmanufacturing facility in Odessa, TX.

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