Wednesday, August 6, 2008

Florida Natural Gas Pipeline Update

TECO Energy Inc. has formed a new subsidiary, SeaCoast Gas Transmission LLC, to develop and own a high-volume Florida intrastate natural gas transmission pipeline.

The new SeaCoast subsidiary allows TECO Energy to expand its natural gas business by providing electric generating facilities with clean-burning natural gas supplies at competitive prices, John Ramil, president and chief operating officer, said in a release.

SeaCoast’s first agreement is with JEA, formerly the Jacksonville Electric Authority. The agreement calls for SeaCoast to provide transportation of natural gas to JEA’s planned Greenland Energy Center. SeaCoast will build a pipeline that would connect both the Florida Gas Transmission and Southern Natural gas transmission pipelines to JEA’s proposed power plant, the release said.

SeaCoast also is exploring opportunities for the future expansion of the pipeline in order to develop natural gas to electric generators in the East Central Florida markets, according to the release.

TECO Energy (NYSE: TE) is an energy related holding company based in Tampa, whose principal subsidiary is Tampa Electric Co.

People’s Gas System is a division of Tampa Electric Co.

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