Kern River’s High Desert lateral ready for service

SALT LAKE CITY, Sept. 4, 2002 — Kern River Gas Transmission Co. placed its $29 million High Desert Lateral pipeline in Southern California in service on Aug. 31.

The 32-mile, 24-inch diameter pipeline will supply up to 282 million cubic feet per day of natural gas to the 810-megawatt gas-fueled electric generating power plant being constructed by High Desert Power Project, LLC near Victorville, Calif.

“Kern River is committed to bringing competitively priced natural gas into California markets, and the High Desert Lateral is another demonstration of that commitment,” said Robert Sluder, president of Kern River. “This construction project has been as nearly flawless as you can get. It will go a long way toward enhancing California’s energy supply by serving the state’s growing power generation needs.”

The Federal Energy Regulatory Commission granted Kern River approval to construct and operate the lateral and related facilities on April 24, 2002. Construction on the meter stations began on May 27, and pipeline construction started on June 17.

The High Desert Lateral is Kern River’s third major project serving California since 2001. Kern River placed its California Action Project in service on July 1, 2001, and on May 1, 2002, the company placed in service its 2002 Expansion Project. Together the two expansions brought the system’s total capacity to more than 845.5 million cubic feet per day. Kern River started construction on its largest system-wide expansion on August 5, 2002. The $1.2 billion 2003 Expansion Project will increase the pipeline’s capacity by 906 million cubic feet per day when it is placed in service in May 2003.

Kern River Gas Transmission Company owns and operates a 926-mile interstate natural gas pipeline between southwestern Wyoming and Southern California. With headquarters in Salt Lake City, Kern River currently delivers more than 845.5 million cubic feet per day of natural gas to expanding markets in Utah, Nevada and California. Kern River is a subsidiary of MidAmerican Energy Holdings Company. Information about Kern River is available on the Internet at http://www.kernrivergas.com.

MidAmerican Energy Holdings Company is based in Des Moines, Iowa, and is a privately owned global provider of energy services. Through its energy-related business platforms — CalEnergy Generation, Kern River Gas Transmission Company, MidAmerican Energy, Northern Natural Gas Company and Northern and Yorkshire Electric — MidAmerican provides electric and natural gas service to 5 million customers worldwide. Information on MidAmerican is available on the Internet at http://www.midamerican.com.

Source: Kern River Gas Transmission Company


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