ATLANTA, May 4 /PRNewswire-FirstCall/ -- Mirant today filed a 90-day notice of its intent to shut down the Pittsburg 7 and Contra Costa 6 units located near San Francisco, California. The notice was filed with the California Public Utilities Commission (CPUC) and the California Independent System Operator (CAISO) in accordance with California law and agreements governing operations with the CAISO.
Despite efforts over the last several months, Mirant has been unable to successfully negotiate contracts or secure reliability compensation for these units, without which operating the units is not economical.
"Mirant will continue to work with all parties in an attempt to reach agreements that will allow us to continue operating Pittsburg 7 and Contra Costa 6," said Rob Hayes, President, Mirant California. "We will continue to do everything we can to achieve this result. If we're not successful in our negotiations, it's our intent to shut down these units at the end of the 90- day period," continued Hayes.
Hayes further stated, "Mirant intends to continue operations of the remainder of its California fleet and to continue with efforts to permit the new Contra Costa 8 unit."
The Contra Cost 8 unit is contemplated to be transferred to PG&E pursuant to Mirant's previous settlement of California matters.
Mirant is a competitive energy company that produces and sells electricity in the United States, the Caribbean, and the Philippines. Mirant owns or leases approximately 17,500 megawatts of electric generating capacity globally. The company operates an asset management and energy marketing organization from its headquarters in Atlanta. For more information, please visit http://www.mirant.com/.
Some of the statements included herein involve forward-looking information. Mirant cautions that these statements involve known and unknown risks and that there can be no assurance that such results will occur. There are various important factors that could cause actual results to differ materially from those indicated in the forward-looking statements, such as, but not limited to, legislative and regulatory initiatives regarding deregulation, regulation or restructuring of the electric utility industry; changes in state, federal and other regulations (including rate regulations); changes in, or changes in the application of, environmental and other laws and regulations to which Mirant and its subsidiaries and affiliates are or could become subject; the failure of Mirant's assets to perform as expected; Mirant's pursuit of potential business strategies, including the disposition or utilization of assets; changes in market conditions, including developments in energy and commodity supply, demand, volume and pricing or the extent and timing of the entry of additional competition in the markets of Mirant's subsidiaries and affiliates; environmental regulations that restrict Mirant's ability to operate its business and other factors discussed in Mirant's Form 10-K for the year ended December 31, 2005.
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