El Paso Corp. (ticker: EP, exchange: New York Stock Exchange (.N))
News Release -
El Paso Energy International Company Acquires Interest in Indian Power Project
Houston, Texas, March 1, 1999-El Paso Energy International Company, a business
unit of El Paso Energy Corporation (NYSE:EPG), announced today that it has acquired a
26-percent interest in the $295 million PPN Power Project located in the Indian state of
Tamil Nadu from Energy Equity Corporation Ltd. The project consists of a 346-megawatt
combined cycle power plant that has been under construction since January 1, 1999. The
project will serve as a base load facility and sell power to the state-owned Tamil Nadu
Electricity Board under a 30-year power purchase agreement. Commercial operations for the
plant are expected to commence in April 2001.
El Paso Energy International is partnered in the project with Reddy Group,
Marubeni Corporation and PSEG Global, a subsidiary of Public Service Enterprise Group. The
PPN Power Project rounds out the company's South Asia portfolio, complementing
existing assets in Pakistan and Bangladesh.
According to John D. Hushon, president of El Paso Energy International, "This
project positions El Paso Energy in one of the largest electricity markets in Asia.
PPN is also one of a handful of projects in the Indian power market that has been project
financed without a sovereign guarantee from the central government. PPN will provide
much-needed electricity for Tamil Nadu, enabling the state to sustain its rapid
industrialization and economic development."
With over $10 billion in assets, El Paso Energy Corporation provides energy
solutions through five business units: Tennessee Gas Pipeline Company, El Paso
Natural Gas Company, El Paso Field Services Company, El Paso Energy Marketing
Company, and El Paso Energy International Company. The company owns the nation's
only integrated coast-to-coast natural gas pipeline system and has operations in
interstate natural gas transmission, gas gathering and processing, energy marketing, and
international infrastructure development.
This release includes forward-looking statements and projections, made in
reliance on the safe harbor provisions of the Private Securities Litigation Reform Act of
1995. The companies have made every reasonable effort to ensure that the information and
assumptions on which these statements and projections are based are current, reasonable,
and complete. However, a variety of factors could cause actual results to differ
materially from the projections, anticipated results or other expectations expressed in
this release. While the companies make these statements and projections in good faith,
neither the companies nor their managements can guarantee that the anticipated future
results will be achieved. Reference should be made to the companies' (and their
affiliates') Securities and Exchange Commission filings for additional important
factors that may affect actual results.