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Columbia Gas Supplies OH Plant

Columbia Gas Supplies OH Plant

Columbia Gas Transmission, has signed a multi-year agreement to supply natural gas delivery service to FirstEnergy's proposed 425 MW power plant addition in Lorain, OH. The agreement is good for 10 years.

The firm service contract will supply the power plant with a maximum of 140,000 Dth/d during the peak electricity usage summer months and a minimum of 40,000 Dth/d for the rest of the year. The three new peaking units should be fully operational by summer 2001, contingent on the Ohio Power Siting Board approving the route of the gas transmission lines.

"This project illustrates the tremendous opportunities available to serve growing, gas-fired electric generation markets in the Midwest," said Catherine Good Abbott, pipeline CEO. "We think today's announcement is just the first of more to come, as there are numerous projects in various stages of development throughout our market area. The question now is not whether the demand will be there; it is when," she added.

During the construction on the 16.5-acre site next to the West Lorain Generating Station, FirstEnergy will convert two existing 60 MW oil-fueled turbines to accommodate natural gas as well.

Within the next 3-year period, FirstEnergy is planning to add 1,155 MW of gas-fired, peaking capacity to its already amassed 12,000 MW system. This includes a brand new 390 MW project which is already underway in Defiance, OH. The company says it will spend more than $300 million on these projects.

FirstEnergy Corp. is a an energy and related services holding company based in Akron, OH. Its electric utility companies operate in Ohio and Pennsylvania and include Ohio Edison, The Illuminating Company, Toledo Edison and Pennsylvania Power. The utilities make up the nation's tenth largest electric system, serving 2.2 million customers within 13,200 square miles. FirstEnergy operates 16 power plants with more than $6 billion in annual revenues and more than $18 billion in assets.

Alex Steis

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