Coweta power plant site sold

Monday, June 26th 2000, 12:00 am
By: News On 6

COWETA, Okla. (AP) -- A California company is taking over construction and ownership of a 1,000-megawatt power plant near Coweta.

Calpine Corp. of San Jose, Calif., has agreed to pay Panda Energy International about $126 million in a deal that requires Calpine to share half of the plant's profits with Dallas-based Panda, after achieving a certain return.

Panda announced plans to build the plant more than a year ago. The company has received a required air quality permit from state regulators enabling it to proceed.

The plant is the first of eight Panda projects being acquired by Calpine.

Construction of the Coweta power plant is scheduled to begin in September, said Panda's Peggy Striegel. It is expected to begin operations in spring 2002.

"Panda has a tremendous amount of confidence in Calpine," she said. "We expect it to be a perfectly smooth transition."

The plant is expected to create several hundred jobs during construction. It will employ more than 40 full-time workers upon completion.