Vancouver-based KMS Power Income Fund, through its manager KMS Energy Inc., has announced a 10-month gas swap contract with Nicor Energy LLC, designed to fix prices for a proportion of the natural gas used by KMS Crossroads. The agreement, at a price of $5.07/MMBtu, encompasses 20,000 MMBtu/month, representing about 40% of the average gas consumption at KMS Crossroads.

An additional fixed local transportation charge of approximately $0.55/MMBtu was added to the contract. By fixing the price for about 40% of gas consumption, KMS said it expected to reduce the potential impact of price spikes while leaving a portion of the gas unadjusted for more flexibility.

KMS Power is an open-ended trust that operates independent power projects in Canada and the United States.

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