Sempra Energy Trading made a strategic alliance with MEGMarketing LLC to market energy and energy-related products andservices to municipalities, federal and state government entitiesand major corporations.

The new alliance, which began April 1, will operate under thename MEG Marketing and will be based in Atlanta. MEG will sellnatural gas, electricity, crude oil and energy-related products andservices. Initial efforts will focus on the eastern and southernregions of the United States. Terms of the deal were not disclosed.

“This strategic alliance is part of our overarching strategy toexpand Sempra Energy Trading’s geographic footprint and generatenew business opportunities with municipalities and federal andstate government entities,” said David Messer, president of SempraEnergy Trading.

Sempra Energy Trading is one of the largest U.S. participants inmarketing and trading physical and financial energy productsincluding natural gas, power, crude oil and associated commodities.

While MEG Marketing will acquire new customers, Sempra EnergyTrading will provide commodity supply and scheduling, as well asback-office technical and operational support.

“As a licensed power and gas marketer, MEG is well-positioned totake advantage of the marketplace developments due to deregulationin the energy sector,” said Jeanne Simkins Hollis, CEO of MEGMarketing. “Our goal is to create a partnership capable of meetingthe changing needs of customers in a competitive energy market bycombining a culturally diverse, dynamic company with the financialand corporate strength of one of the nation’s leading energymarketers.” Hollis was a partner with Reid & Priest, aWashington, DC, law firm specializing in utility regulatory andprivatization law.

While Hollis said the alliance’s initial focus will be mainlysoutheastern states, she said New York and New Jersey also aretargeted. “I really consider us to be national in scope.” MEGintends to capitalize on its status as a certified minority andwomen-owned business by targeting prospects who seek suppliers withthis designation. Hollis said more than 50% of MEG’s business isexpected to come from entities seeking minority and women-ownedbusiness suppliers.

MEG currently has four employees, but Hollis said she hopes thestaff will grow to about 10 by the end of the year. Other alliancesalso are possible, she said.

Based in Atlanta, MEG Marketing, LLC, was established to sellnatural gas, electricity, crude oil and energy-related products andservices. Based in Stamford, CT, Sempra Energy Trading is one ofthe largest U.S. participants in marketing and trading physical andfinancial energy products, including natural gas, power and crudeoil. Sempra Energy Trading is a subsidiary of Sempra Energy, anenergy services holding company based in San Diego.

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