Combined

Sempra Energy Solutions, the retail marketing arm of San Diego-based Sempra Energy, announced that it dedicated the first phase of a new combined heat/power generating plant at the sprawling $900 million Food and Drug Administration headquarters complex in Silver Spring, MD. Sempra Solutions has a 20-year contract with the FDA under the federal energy department’s performance-based contracting program. Called White Oak, the consolidated FDA headquarters will include three million square feet of space on 130 acres and will be developed over 10 years. The energy plant is being developed in phases as a natural-fired cogeneration facility. The specific terms or value of the energy supply contract were not disclosed, but Sempra finances the centralized energy plant equipment and installation with no up-front cost to the federal agency, getting paid annually through the energy savings, which are estimated by the GSA to be about $2.5 million annually for the 6,200-employee complex in which all of the 14 buildings are interconnected.

The western heat and Midwest/Northwest cold that had combined with energy futures strength to push prices higher earlier in the week were unable to sustain further increases Wednesday. Moderating weather trends and an initially softer screen caused swing quotes to range from flat to a little more than 15 cents lower; most dips were mild at less than a dime.

Another major screen dive combined with weak weather fundamentals to keep cash prices falling throughout the East Monday. The West, however, presented a mixed picture: some Rockies/Pacific Northwest points saw large losses, but the Southern California border and Southwest basins ranged from flat to up about a dime.

FERC last Wednesday approved a combined settlement between El Paso Electric Co., the California attorney general, the California Electricity Oversight Board (CEOB) and FERC trial staff aimed at resolving allegations that the utility colluded with Enron during California’s energy crisis to manipulate the wholesale market and artificially inflate prices.

Operating cash flow, combined with cash on hand and available credit, is expected to be more than enough to cover Dynegy Inc.’s scheduled spending over the next 12 months, and with that knowledge, Moody’s Investors Service on Thursday assigned the company a speculative grade liquidity rating of SGL-1. Moody’s SGL is a short-term rating system for speculative grade issuers that are, by definition, “not prime,” and are assigned on a scale from SGL-1 (very good) to SGL-4 (weak).

Operating cash flow, combined with cash on hand and available credit, is expected to be more than enough to cover Dynegy Inc.’s scheduled spending over the next 12 months, and with that knowledge, Moody’s Investors Service on Thursday assigned the company a speculative grade liquidity rating of SGL-1. Moody’s SGL is a short-term rating system for speculative grade issuers that are, by definition, “not prime,” and are assigned on a scale from SGL-1 (very good) to SGL-4 (weak).

The combined net profit of 22 surveyed independent oil and natural gas producers rocketed to $449 million in the first quarter of this year from a deficit of $10 million in the comparable period in 2002 amid escalating gas and oil prices, according to the Energy Information Administration (EIA) in a new report.

The combined net profit of 22 surveyed independent oil and natural gas producers rocketed to $449 million in the first quarter of this year from a deficit of $10 million in the comparable period in 2002 amid escalating gas and oil prices, according to the Energy Information Administration (EIA) in a new report.

The expected 41% increase in gas-fired combined cycle generation this year (more than 50,000 MW of incremental capacity) will have a significant impact on natural gas transportation and delivery (see Daily GPI, March 5). As a result, three industry associations have signed an agreement to work closely to ensure that the reliability of residential and commercial gas utility service isn’t compromised.