Laclede Energy Resources said last week that it has finalized amulti-year arrangement with UtiliCorp United Inc. to provide asignificant portion of the gas supply for a 600 MW power plantcurrently under construction in Pleasant Hill, MO.

During the course of the four-year agreement, which is scheduledto go into effect June 1, 2001, Laclede Energy Resources willprovide UtiliCorp with up to 20 Bcf and will manage fluctuations inits gas-purchase requirements on an as-needed basis to satisfysummer power needs.

Based on current gas costs, the gas supply arrangement couldgenerate incremental revenues to Laclede Energy Resources of about$50 million during its four-year term, Laclede said.

Laclede Energy Resources, a wholly owned subsidiary of LacledeGas Co., is an unregulated marketer of natural gas in the Midwest.Laclede Gas Co. is a natural gas distribution utility providingservice to approximately 620,000 customers in the City of St. Louisand surrounding counties in eastern Missouri.

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