Midwest

If this spring is any indication of what’s to come this summer,utility and power grid operators in the Northeast and Mid-Atlanticregions might want to say a few extra prayers for electricreliability and affordable power.

To assist in the growing demand for electricity in the upperMidwest, Southern Energy Inc. plans to begin construction thismonth of a natural gas-fired plant in Zeeland, MI that will useadvanced natural gas combined-cycle technology and state-of-the-artemission control equipment. Commercial operations are expected tobegin in June 2001, with an initial 300 MW of capacity. Anadditional 530 MW will begin commercial operation by June 2003.

Weekend cash prices hit a plateau Friday in theMidcontinent/Midwest, Gulf Coast and Appalachia, but softened inthe Northeast and at most western points.

The Midwest utility landscape should expect radical changessoon, as two major mergers have cleared all regulatory approvalsand are closing in on completion.

Western Gas Resources, Inc. announced yesterday that itswholly-owned subsidiary, Western Gas Resources-Oklahoma, Inc.(WGRO), purchased Panhandle Gathering Co.’s (PGC) 50% interest inWestana Gathering Co. for an undisclosed sum. The transaction hasan effective date of Jan. 1, 2000 and gives WGRO full ownership ofthe company.

As part of its portfolio rationalization effort, Texaco saidlast week that it has agreed to sell $161.1 million worth ofsouthwestern and Midcontinent properties to Bargo Energy. Theeffective date of the purchase was Jan. 1, 2000 and closing isexpected to occur late in the first quarter of this year.

As part of its portfolio rationalization effort, Texaco saidyesterday that it has agreed to sell $161.1 million worth ofsouthwestern and Midcontinent properties to Bargo Energy. Theeffective date of the purchase is January 1, 2000 and closing isexpected to occur late in the first quarter of this year.

Canadian natural gas exporters have wasted no time in takingadvantage of their new power to shop around for markets as a resultof expanded pipelines.

Canadian natural gas exporters have wasted no time in takingadvantage of their new power to shop around for markets as a resultof expanded pipelines.