Mexico’s Comision Reguladora de Energia (CRE) said several international corporations are planning liquefied natural gas (LNG) facilities in Mexico, and the CRE has formed a work group to identify necessary regulatory changes to grant permits and facilitate the development of the LNG plants. The country is expecting a 9% annual increase in gas demand, and LNG supply is expected to help meet some of that growth, CRE said in a statement. The probable sites for the LNG facilities include Altamira in Tamaulipas and Ensenada in Baja California. “The characteristics of each project are different and must be evaluated in order to identify the advantages that each of them pose to cover the growing demand of natural gas, demand fostered by a plan to develop electricity generating plants and projects of transport and distribution approved by the CRE.”

Williams Central Pipeline last week began service to the new Aries gas-fired power plant near Pleasant Hill, MO. The pipeline is transporting 35,000 Dth/d of gas under annual firm services to the facility and 86,000 Dth/d under summer-only service. The power plant is a joint venture of Calpine and Aquila. Williams built several miles of 24-inch diameter pipeline and upgraded some compressor units at its Peculiar Station in Cass County, MO, to serve the new plant. The first 320 MW of power from the Aries plant are expected to be available this summer with another 280 MW coming on line in spring 2002. The majority of the plant’s output will be sold to Missouri Public Service.

U.S. Energy Corp. and Crested Corp. said their subsidiary Rocky Mountain Gas signed an agreement with another party to finance the further exploration and development of 250,000 gross acres containing coalbed methane (CBM) reserves in Montana and Wyoming and to acquire additional CBM properties. RMG owns a 50% working interest in 185,000 mineral acres of leases in the Powder River Basin of Montana of which 112,000 acres are subject to an option-to-farm-in agreement with Suncor Energy America. RMG also controls a 100% working interest in 63,000 acres of properties having potential for CBM in southwestern Wyoming.

PECO Energy Co. said it expects thousands of local customers will benefit from the completion of several projects this spring intended to expand electric capacity and upgrade facilities for Bucks County communities. Philadelphia-based PECO said that it met the target of June 1 for completion of its summer readiness work, including preventive and corrective maintenance activities, capacity expansion projects, targeted circuit improvements, and system reinforcement for service reliability. John McDonald, PECO operations director for Bucks and Montgomery counties, said more than $5.5 million was set aside for projects in Bucks County, while more than $6 million has been set aside for projects in Montgomery County.

©Copyright 2001 Intelligence Press Inc. All rights reserved. The preceding news report may not be republished or redistributed, in whole or in part, in any form, without prior written consent of Intelligence Press, Inc.