Enron-Tejon plant deal

Tejon Ranch Co., a US real estate development company, has announced that it has signed an agreement with Enron Capital and Trade resources to develop a major power plant at Tejon Ranch, California.

The project will be between 750 and 1000 MW in size and will be constructed at an estimated cost of $500m. The facility will be a natural gas fired combined cycle plant. It will be located at the southernmost end of the San Joaquin Valley, a strategic location close to the California Aqueduct, existing major transmission lines and the Kern River Mojave natural gas pipeline.