Dominion Resources, Consolidated Natural Gas Announce Development
of Power Facilities in Ohio, Pennsylvania and West Virginia
RICHMOND, Va. and PITTSBURGH – Dominion Resources Inc. (NYSE:
D) and Consolidated Natural Gas Company (NYSE: CNG) today announced that they
expect to begin development of a total of four electric power generation facilities
in Ohio, Pennsylvania and West Virginia.
The facilities represent up to $800 million in local investment
and are part of an exclusive alliance agreement between the two companies to
build and operate natural gas-fired power businesses at viable sites near CNG’s
five-state natural gas pipeline system.In a joint statement,
Thos. E. Capps, Dominion Resources chairman, president and
chief executive officer, and George A. Davidson, CNG chairman and chief executive
officer, said:
"Today’s announcement makes good on our promise to move as
quickly as possible and increases our momentum towards becoming one of the nation’s
premier energy providers.
"We are very encouraged by the supportive reception we have
received in each locality. It is a strong endorsement of our alliance agreement,
pairing the complementary asset base and skill sets of our two companies to
meet the growing energy needs of the nation’s Midwest-Northeast quadrant and
to enhance the local economies in the areas where we will operate."
The four proposed projects announced today include a:
600 megawatt facility in Wood County, Ohio, representing
approximately $200 million in local investment;
300 to 600 megawatt facility in Armstrong County, Pennsylvania,
representing approximately $100 million to $200 million in local investment;
600 megawatt facility in Muskingum County, Ohio, representing
approximately $200 million in local investment; and a
300 to 600 megawatt facility in Pleasants County, West
Virginia, representing approximately $100 million to $200 million in local
investment.
Dominion and CNG affiliates will construct, operate and maintain
the facilities on a 50-50 basis. The two companies are considering additional
sites for development along CNG’s natural gas pipeline network in Ohio, Pennsylvania,
New York, Virginia and West Virginia.
In February, Dominion Resources, based in Richmond, Va.,
and CNG, based in Pittsburgh, signed a definitive merger agreement to create
the nation’s fourth largest electric and natural gas company.
