EDITORS: Please do not use
"Pacific Gas and Electric" or "PG&E" when
referring to PG&E Corporation or its National Energy Group.
The PG&E National Energy Group is not the same company as Pacific
Gas and Electric Company, the utility, and is not regulated by the
California Public Utilities Commission. Customers of Pacific Gas
and Electric Company do not have to buy products or services from
the National Energy Group in order to continue to receive quality
regulated services from Pacific Gas and Electric Company.
SIGNS CONTRACTS TO SECURE 50 GENERATING TURBINES REPRESENTING 15,900
MEGAWATTS OF ELECTRICITY
Bethesda, Md.-- PG&E Corporation’s
(NYSE: PCG) National Energy Group today announced the execution
of contracts to secure 50 turbines representing a development portfolio
of approximately 16,000 megawatts of electric power. The contracts
include four 7FA and nineteen 7FB turbines from GE Power Systems,
as well as twenty-one Mitsubishi MHI 501G turbines and six Siemens
Westinghouse SW 501G turbines.
The turbines will be deployed
nationally to support the company’s greenfield development projects.
Most of the turbines will be funded through a creative off-balance
sheet financing arranged by Société Générale. The financing provides
for the turbine purchases and related project costs without any
near-term cash outlays from PG&E Corporation.
“These purchase agreements
indicate our dedication to our overall growth strategy,” said Thomas
G. Boren president and chief executive officer of PG&E National
Energy Group. “With a substantial turbine procurement program, our
commitments to satisfying regional energy needs and meeting our
development goals are well underway.”
The contracts mark PG&E
National Energy Group’s largest turbine commitment to date and diversifies
its turbine portfolio. Delivery of the turbines is scheduled through
“We are greatly diversifying
our marketing and generation presence across the country,” said
Boren. “As we strengthen our foothold nationally with projects to
meet critical market needs, we achieve a three-way win: value for
our shareholders, confidence for our customers, and reliability
for consumers,” he added.
PG&E Corporation with 1999
revenues of nearly $21 billion and operations in 21 states, markets
energy services and products throughout North America through its
National Energy Group. The Corporation has ownership and management
interests in 30 operating electric power generating plants in 10
states, providing it with a generation portfolio of more than 7,000
megawatts and more than 10,000 megawatts in new power plant development
and construction currently underway. It also has one of the largest
energy trading and risk management programs in North America.