Cogeneration

Conoco Global Power, Conoco’s power subsidiary, announced plansto build a $250 million, 420 MW cogeneration plant at Dupont’sSabine River Works facility near Orange, TX. Conoco also announceda 10-year tolling agreement with PG&E Energy Trading in whichthe San Francisco-based company will provide the 80-90 MMcf/d ofgas for the plant while gaining the right to dispatch up to 250 MWof the project’s output. The value of the tolling agreement was notdisclosed. Conoco will be the project manager during construction,then give way to Dupont, which will operate the facility when it isfinished. Commercial operations are scheduled to begin in 2001.”This is the largest agreement of this kind PG&E Energy Tradinghas in Texas. What’s more, this energy will be sold into theEntergy power grid, making it even more valuable,” said TonyChovanec, vice president of PG&E Energy Trading’s marketingoperations.

The Coastal Corporation has announced that its Coastal Powersubsidiary will build a 265 MW gas-fired power plant northeast ofDenver. Fulton Cogeneration Associates, L.P., an affiliate ofCoastal Power, will own and operate the plant and has entered intoa power purchase agreement with Public Service Company of Coloradobeginning in May of 2000. Construction of the facility will beginthis summer near Brush, CO. Colorado Interstate Gas Company, also asubsidiary of The Coastal Corporation, will build a pipeline fromits Young and Fort Morgan natural gas storage fields to transportnatural gas to the plant.

Duke/Fluor Daniel was awarded a turnkey contract Wednesday tobuild a 550 MW, $240 million cogeneration plant in Dearborn MI.Details of the contract were not disclosed.