In addition to wind power generation projects in the state of California, Tomen's independent power generation projects in US cover four natural gas fired cogeneration projects, currently in operation, and one under construction. Recently,the Company joined forces with LS Power Corp., a Montanabased independent power company, to develop successfully two cogeneration projects to provide electricity and steam in Minnesota and Wisconsin. The projects are expected to be operational by the summer of 1997. The total investment amounts to 371 million.The projects were jointly developed by LS Power and Tomen, one in Cottage Grove, south Minnesota, and one in Whitewater, Wisconsin. Tomen will invest nearly 18 million in the Cottage Grove Project and nearly 21 million in the Whitewater Project. Debt was raised via 144 A public offerings amounting to 331 million to finance the construction of the two projects.
Both congeneration plants will be fueled by natural gas, and each will have a maximum output of 245,000kW.
Construction has already begun on the Cottage Grove Project, and is scheduled for commercial operation in May 1997. A 30-year contract to sell electric power to an investorowned utility, Northern States Power Co., has been signed. The Project will also supply steam to the 3M Company.
Construction has also started on the Whitewater Project,with commercial operation expected in June 1997. The plant will supply electric power ro Wisconsin Electric Power Co., a local power company, under a 25 year contract, and it will supply steam to the University of Wisconsin.
Tomen has been aggressively developing its power generation business overseas, focusing much of its efforts on the United States, where regulations covering power generation are growing less stringent.