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Gemma Power Systems Receives Notice to Proceed on a 1.2-GW Power Project in Texas

LCG, April 8, 2025--Gemma Power Systems (“Gemma”), a wholly owned subsidiary of Argan, Inc. (“Argan”), has received a notice to proceed on its previously announced engineering, procurement and construction (“EPC”) services contract with Sandow Lakes Energy Company, LLC (“SLEC”) for a 1.2-GW power plant in Lee County, Texas. Construction of the natural gas-fired, combined cycle facility is scheduled to commence this summer, with an expected project completion date in 2028

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NeuVentus Receives Storage Permits for its Texas Reliability Underground (TRU) Hub Salt Cavern Storage Project

LCG, April 4, 2025--NeuVentus, LLC ("NeuVentus") announced this week the receipt of a final order from the Railroad Commission of Texas (RRC) that grants a subsidiary of NeuVentus authority to create and operate 12 salt caverns for storage of a variety of gases (including natural gas and hydrogen) and liquids at its Texas Reliability Underground Hub ("TRU Hub") salt cavern storage project located in Liberty County, Texas.

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Industry News

Arizona Regulators Complain About El Paso Gas Pipeline Allotment

LCG, September 17, 2002-State officials in Arizona have filed complaints with FERC regarding El Paso Corp.'s gas shipping practices, which regulators allege to be unfair.

The Arizona Corporation Commission, responsible for regulating electric utilities and gas pipelines, filed complaints with FERC today, asserting that El Paso has not made its gas shipping practice equitable. On May 30, the Federal Energy Regulatory Commission (FERC) ordered El Paso Corp. to change its gas shipping practices in the southwest in order to allow for more uniform shipments. Some gas customers had complained that the company's shipping policies did not allow for sufficient regional access to gas supplies. Previous practices allowed certain customers, those with "full requirement" contracts, to have as much pipeline capacity as they wished, while other customers had to split up the remaining, limited capacity.

Californians asserted that high gas prices, due to limited supply, shared much of the blame in California's energy crisis of 2000/2001. These claims provided much of the impetus behind FERC's May order.

El Paso intends to change its policy starting November 1 and begin limiting supplies to those customers who previously enjoyed "full requirement" status. Those customers, which include Arizonans, will still have part of their necessary gas capacity reserved for them but will be subject to market forces for the remainder of their required capacity.

According to Reuters, the Arizona Corporation Commission asserts that its customers need full requirement status and that El Paso's new allotment is "unworkable, unfair, and discriminatory."

The filing awaits action under FERC docket RP00-336-002.

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