CMP Natural Gas (CMPNG) said it has signed a long-term contractto deliver gas on a proposed pipeline lateral to a 540 MW gas-firedpower plant being built in Westbrook, ME, by Calpine Corp.Construction of the $200 million electric generating facility isunder way and Calpine said it will require gas service by June 1,2000.

Pending Maine Public Utilities Commission approval, CMPNG plansto serve Calpine by building a new lateral that would interconnectwith the nearby pipeline facilities that are jointly owned byPortland Natural Gas Transmission System and Maritimes &Northeast Pipeline.

“Having Calpine as a customer will help fulfill our overallstrategy of serving both large and small customers throughout Maineand is a reflection of our ability to provide timely, competitivelypriced services in a rapidly changing energy market,” said CMPNGCEO Tim D. Kelley.

CMPNG began construction of its first local distribution systemin Windham, ME, earlier this year and began serving its firstcustomer in May. The company is a joint venture of CMP Group, Inc.,parent of Central Maine Power, and Energy East, parent of New YorkState Electric & Gas. Energy East announced plans last month tobuy CMP Group for $1.2 billion in cash and debt (see Daily GPI June16).

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