Lea Power Partners LLC Completes Construction of $300 Million Power Project In New Mexico

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Researched by Industrial Info Resources (Sugar Land, Texas)--Lea Power Partners LLC (Lafayette, Colorado), a subsidiary of ArcLight Capital Partners LLC (Boston, Massachusetts), has completed construction and is in start-up testing of the $300 Million 550-Megawatt Hobbs Generating Station located in Hobbs, New Mexico.

Construction of the project began in November 2006 and was completed earlier this year. Full commercial operation of the new facility is scheduled to commence in August. The project consisted of constructing a 2-on-1 combined cycle power station, equipped with two 175-megawatt (MW) natural-gas-fired Mitsubishi Power Systems M501F combustion turbine generators, two Aalborg Industries heat recovery steam generators and a 200-MW GE Energy D11 steam turbine generator. Once operational, Hobbs will supply power to up to half a million homes located in eastern areas of New Mexico and west Texas.

The energy produced by the new facility will be sold to Southwestern Public Service Company (Amarillo, Texas), a subsidiary of Xcel Energy (NYSE: XEL) (Minneapolis, Minnesota), under a 25-year power purchasing agreement.

Colorado Energy Management LLC (Lafayette, Colorado) provided the turnkey engineering, procurement and construction services for the project and will operate and manage the facility upon completion. Sterling Energy, based in Capistrano Beach, California, acted as the general contractor.

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