El Paso signs Brazilian power purchase agreement
El Paso Energy International, a unit of El Paso Energy Corp., Houston, has signed a power purchase agreement for the second phase of the Termonorte thermal power project. Located in Porto Velho, Brazil, the second phase of the project will supply 345 Mw of power to the state of Rondonia in western Brazil.
El Paso Energy International, a unit of El Paso Energy Corp., Houston, has signed a power purchase agreement for the second phase of the Termonorte thermal power project. Located in Porto Velho, the project will supply power to the state of Rondonia in western Brazil.
Phase 2 consists of a 345-Mw gas turbine-based, combined-cycle plant that will bring the total capacity of the electric power plant to 409 Mw and will complete the build-out of the project. Commercial operations for Phase 2 are scheduled to begin in October 2001.
El Paso Energy International, which has a 40% stake in the $280 million project, will complete construction for the first phase and begin supplying 64 Mw of electric power to Porto Velho in July. Phase 2 will give impetus to the development of indigenous natural gas resources and a related natural gas pipeline from the Urucu gas basin.
"We look forward to the successful implementation of Phase 1 and we�re pleased to be moving ahead with Phase 2, which will deliver much-needed energy to the people of the Amazon region," said John D. Hushon, president of El Paso Energy International. With this project, El Paso becomes the largest independent power producer in Brazil.
El Paso Energy International, an investor in the Bolivia-to-Brazil natural gas pipeline, also owns four power plants in Manaus in the state of Amazonas and supplies 76% of the energy generated for that city.
Recently, El Paso Energy International signed a power supply agreement for a 48-Mw power project in Arauc�a in the state of Paran�nd formed a joint venture with General Electric to develop, build, own, and operate 2,000 Mw of electric generating capacity in the city of S�Paulo.