SAN DIEGO, July 20, 2004 (PRIMEZONE) -- Sempra Energy Global Enterprises today announced that Pine Prairie Energy Center LLC, an indirect wholly owned subsidiary of Sempra Energy Global Enterprises, has petitioned for authorization from the Federal Energy Regulatory Commission (FERC) to construct and operate its Pine Prairie Energy Center gas storage facility in Evangeline Parish, La.
In its filing, Pine Prairie Energy Center seeks FERC authorization to operate the facility under Section 7(c) of the Natural Gas Act, including market-based rate treatment. Information about the FERC filing and tariffs involving the Pine Prairie Energy Center are available on the project's Web site at www.pineprairieenergycenter.com.
Pine Prairie Energy Center is close to Henry Hub, the nation's largest natural gas trading center. The development plans provide for three salt caverns with a total working capacity of 24 billion cubic feet (Bcf) of natural gas, enabling maximum injections of 1.2 Bcf per day and maximum withdrawals of 2.4 Bcf per day.
Sempra Energy Global Enterprises today also announced it has acquired the rights to develop a salt-cavern gas storage facility, called "Liberty Gas Storage," in Calcasieu Parish, La., from HNG Storage. Terms of the deal were not disclosed.
Located near Sempra Energy's liquefied natural gas (LNG) receipt terminals under development in Hackberry, La., and Port Arthur, Texas, Liberty Gas Storage would be integrated with the new pipelines required to deliver LNG to the U.S. markets.
Development of the Liberty Gas Storage facility will entail removing the brine from two existing salt caverns with a capacity of 17 Bcf of working gas. Liberty Gas Storage also will install surface facilities to allow for maximum injection of 500 million cubic feet per day and maximum withdrawals of 1 Bcf per day.
Due to their high deliverability operating characteristics, salt-cavern storage facilities have become key components in supporting the commercial functions of power generators, pipelines, utilities, energy merchants and LNG receipt terminal operators throughout the United States.
"Both of these projects provide a good opportunity to bring gas storage to the Gulf Coast market while capitalizing on significant demand from LNG and pipeline projects there," said Donald E. Felsinger, president and chief operating officer of Sempra Energy. "Liberty Gas Storage and the Pine Prairie Energy Center are in prime locations to support the areas of eastern Texas and southern Louisiana, where significant LNG development is underway."
Sempra Energy Global Enterprises has completed another gas storage facility called Bluewater Gas Storage in St. Clair, Mich. This facility has a gas storage capacity of 27 Bcf and began operations in May 2004.
Sempra Energy Global Enterprises' subsidiaries include Sempra Energy LNG, Sempra Energy Trading, Sempra Energy International, Sempra Energy Resources and Sempra Energy Solutions.
Sempra Energy (NYSE:SRE), based in San Diego, is a Fortune 500 energy services holding company with 2003 revenues of $7.9 billion. The Sempra Energy companies' nearly 13,000 employees serve more than 10 million customers in the United States, Europe, Canada, Mexico, South America and Asia.
This press release contains statements that are not historical fact and constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. When the company uses words like "believes," "expects," "anticipates," "intends," "plans," "estimates," "may," "would," "should" or similar expressions, or when the company discusses its strategy or plans, the company is making forward-looking statements. Forward-looking statements are not guarantees of performance. They involve risks, uncertainties and assumptions. Future results may differ materially from those expressed in the forward-looking statements. Forward-looking statements are necessarily based upon various assumptions involving judgments with respect to the future and other risks, including, among others: national, international, regional and local economic, competitive, political, legislative and regulatory conditions and developments; actions by the California Public Utilities Commission, the California State Legislature, the California Department of Water Resources and the Federal Energy Regulatory Commission; capital market conditions, inflation rates and interest rates; energy and trading markets, including the timing and extent of changes in commodity prices; weather conditions; business, regulatory and legal decisions; the pace of deregulation of retail natural gas and electricity delivery; the timing and success of business development efforts; and other uncertainties, all of which are difficult to predict and many of which are beyond the company's control. These risks and uncertainties are further discussed in the company's reports filed with the Securities and Exchange Commission that are available through the EDGAR system without charge at its Web site, www.sec.gov.
Sempra Energy Trading, Sempra Energy International, Sempra Energy LNG, Sempra Energy Resources, Sempra Energy Solutions, and Sempra Energy Financial are not the same companies as the utilities, SDG&E/SoCal Gas, and are not regulated by the California Public Utilities Commission.