TransAlta Powers Up First Mexican Station

TransAlta Corporation has officially began commercial operation of its new $310 million (US$202 million), 252-megawatt (MW) combined-cycle gas- and diesel-fueled Campeche power plant located in the Mexican state of Campeche in the Yucatan Peninsula. Mexico's government-owned utility, the Comisión Federal de Electricidad (CFE), has purchased 100 per cent of the plant's electricity output under a 25-year contract. The facility is TransAlta's first power plant in Mexico.

"Today represents a significant milestone for TransAlta," said Steve Snyder, TransAlta President and CEO. "Mexico is a high growth market for electricity and associated international investments. Our long-term contracts in U.S. dollars with the CFE minimize our revenue risk, allowing us to grow our capacity and diversify our geographic and fuel mix."

In March 2000, the CFE selected TransAlta to build and operate the Campeche power plant. Construction started March 2001 and created over 1,000 construction jobs at peak periods. The plant will be operated with a workforce of 27 Mexican nationals. In March 2001, the CFE selected TransAlta to build and operate a second power plant in Mexico in the northern state of Chihuahua. TransAlta expects this 259-MW gas-fired plant, Chihuahua III, to come on line in third quarter 2003.

TransAlta is Canada's largest non-regulated power generation and wholesale marketing company. We have close to $9 billion in coal-fired, gas-fired, hydro and renewable generation assets in Canada, the U.S., Mexico and Australia. With approximately 10,000 megawatts of capacity either in operation, under construction or in development, our focus is to efficiently operate our assets in order to provide our wholesale customers with a reliable, low-cost source of power.