Dow Chemical Completes Purchase Of Plaquemine Cogeneration Facility From AEP

Midland, MI – The Dow Chemical Company has completed the purchase of the Plaquemine Cogeneration Facility in Plaquemine, Louisiana, from a subsidiary of American Electric Power Company. Dow announced intent to purchase the facility in August, 2006.

The Plaquemine Cogeneration Facility, which consists of four 170-megawatt gas-fired combustion turbine generators and a 200-megawatt steam turbine, has a capacity of 880 MW of power and 5 million pounds per hour of steam. Dow has leased and operated this facility since it began commercial operations on March 18, 2004.

"Purchasing this world-scale facility will enable Dow to generate power and steam via more energy efficient assets, while decreasing our use of older, less efficient equipment over time," said John Dearborn, global vice president for energy. "With domestic natural gas at high and globally non-competitive prices, this state-of-the-art cogeneration facility will help to lower Dow's energy costs, while making our Plaquemine, Louisiana, manufacturing site more competitive."

SOURCE: Dow Chemical Company