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Contracts and Construction

Issue 4 and Volume 104.

Construction should begin this summer on the Acadia power project, now jointly owned by Cleco Midstream Resources LLC and Calpine Corp. Commercial operation of the 1,000 MW plant in southern Louisiana is expected in 2002. The plant is sited at a juncture of the Southwest Power Pool and the Southeastern Electric Reliability Council grids. Calpine also recently purchased 78.5 percent interest in the 500 MW Hidalgo Energy Center, currently under construction in Edinburg, Texas, from Duke Energy North America. Commercial operation is expected in June 2000, with Calpine to operate and maintain the facility. Calpine is also building a 730 MW facility in Edinburg, called the Magic Valley facility.

Construction should also begin this summer on an expansion to Elwood Energy LLC’s peaking plant in Elwood, Ill. Dominion Resources Inc. and Peoples Energy Corp. announced plans to add 600 MW to the state’s first merchant facility, doubling its capacity. The expansion will add four GE 150 MW simple-cycle, natural gas-fired turbines. The expansion is expected to be complete for summer 2001.

Duke Energy North America also recently announced construction on three 500 MW, natural gas-fired, combined-cycle merchant plants – McClain Energy Facility in Newcastle, Okla., the Hinds Energy Facility in Jackson, Miss., and the Attala Energy Facility near Kosciusko, Miss. All three are expected to enter operation in mid 2001.

Carolina Power & Light’s 500 MW natural gas-fired peaking plant is expected to come on-line this July, a year ahead of schedule. The facility has three 165 MW, simple-cycle combustion turbines from General Electric.

Duke/Flour Daniel has received a five-year contract to operate Duke Energy North America’s 520 MW Maine Independence Station, which is currently under construction.

Babcock & Wilcox has received a $40 million contract to supply selective catalytic reduction systems for Units 1 and 2 at Baltimore Gas & Electric Co.’s Brandon Shores plant.

City Water & Light, a Jonesboro, Ark., municipal utility, is installing a GE LM6000 PC Sprint aeroderivative gas turbine-generator set at its Northwest Substation, with completion expected by June 1. The LM6000, supplied by S&S Energy Products, and the two LM2500 gas turbine-generator sets already in place will use water injection for NOx suppression to 25 ppm.

Alliant Energy Corp. has announced plans to spend $8 million on 54 portable generators to help meet electricity demand this summer. Alliant is also spending $17 million to reserve power from other utilities, offering incentives for large users to cut demand on peak power, and investing $600,000 in power plant upgrades.

National Energy Group, the merchant unit of PG&E Corp., has started construction of the 1,048 MW, gas-fired, combined-cycle La Poloma plant near Bakersfield, Calif. The plant is expected to reach completion in 2001.

TransAlta won a bid to build and operate a 250 MW plant in Campeche, Mexico, including a 25-year power purchase agreement with Comision Federal de Electricidad.