22 October 2004 - BG Group have reduced their 2006 power target as discussions with the Tunisian government have so far failed to reach a conclusion.
BG Group and the Tunisian government entered into a Memorandum of Understanding (MOU) for the development of the Barca 500 MW CCGT power plant 17 months ago.
As a result of the still ongoing talks, BG Group is reducing its 2006 power target to 2.8 GW from 3.3 GW. The 500 MW reduction will not have a material impact on earnings or cash flow and all other 2006 targets remain unchanged, said a statement from BG Group.
BG Group remains optimistic of the Barca power projects economic viability and the company are continuing to work with the Tunisian government to develop the Barca proposal.