Memorandum

Sempra Energy and Pacific LNG, a consortium of Repsol YPF, BG Bolivia Corp. and Pan American Energy LLC, last week inked a memorandum of understanding to enter into exclusive negotiations for a baseload supply of liquefied natural gas (LNG) from Bolivia to meet growing markets in northwestern Mexico and Southern California.

Sempra Energy and Pacific LNG, a consortium of Repsol YPF, BG Bolivia Corp. and Pan American Energy LLC, have inked a memorandum of understanding to enter into exclusive negotiations for a baseload supply of liquefied natural gas (LNG) from Bolivia to meet growing markets in northwestern Mexico and Southern California.

Owners of transmission systems stretching across several Southeastern states have signed a memorandum of understanding to develop a regional transmission organization (RTO) for the region. If the transmission owners prove successful in their efforts to develop the RTO, it would be one of the nation’s largest, covering more than 39,000 miles of transmission lines with an investment in assets in excess of $6 billion.

PanCanadian Petroleum Ltd., through its wholly-owned subsidiary, PanCanadian Energy Services, announced Monday that it has entered into a memorandum of understanding with Canadian Fertilizers Limited (CFL) for the development of an 85 MW natural gas-fired cogeneration plant to be located at CFL’s nitrogen complex in Medicine Hat, AB. The cogeneration facility will be developed and owned by PanCanadian and will provide steam to CFL. This project was selected by the Province of Alberta’s transmission administrator under the “Location Based Credits Standing Offer” process, which is designed to address transmission constraints with the development of new power generation in southern Alberta. In addition to the CFL project, PanCanadian currently has two natural gas-fired combined cycle power plants under construction. The Cavalier and Balzac plants will each produce 106 MW of power and will be fully operational this year. PanCanadian also owns a 25% interest in a 110 MW cogeneration facility near Kingston, ON.

In the absence of any definitive regulatory or legislative moves as yet to implement a three-week-old memorandum of understanding (MOU) with the governor, Southern California Edison officials Tuesday acknowledged that creditors and other parts of the financial community are afraid the utility will join the state’s other major investor-owned utility, Pacific Gas and Electric, in bankruptcy court.

NICOR and GE Power Systems signed a memorandum of understanding,calling for GE to supply NICOR with GE-Elliott Energy Systems (EES)turbo alternators for sale to customers in the midwestern UnitedStates.

GE Power Systems and Plug Power have signed a memorandum ofunderstanding to form “GE Fuel Cell Systems,” a joint venture thatwill sell, install and service Plug Power-designed and manufacturedfuel cell systems. The announcement last week follows Plug Power’srecent demonstration of a prototype residential fuel cell systemthat produces more than enough power to meet the energyrequirements of an average-sized home.

NGC Corp. and Texaco signed a memorandum of understandingyesterday to create a new joint venture company that will useexisting gas liquids pipelines to create a 290-mile, bi-directionalnatural gas liquids (NGL) transportation system, extending fromSorrento, LA, to Mont Belvieu, TX.