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Top Story

Jul. 04, 2008

Developers express interest in gas pipeline

By MARK WAITE
PVT

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A company building a solar power facility in Nye County is interested in building a gas-fired plant as well, which would include a pipeline through Pahrump, Richard Nelson, senior project manager of BEC Environmental Inc., told local developers Monday.

A meeting for any local businesses interested in the proposal had been tentatively scheduled for June 30.

While a gas-fired power plant would account for much of the pipeline use, Nelson wanted input into how much additional usage there could be from residential and commercial accounts.

Southwest Gas had quoted a price of $68 million in the past to hook up a pipeline to Pahrump, Nelson said. But Kern River Transmission said it would be willing to put in a pipeline if there were other gas interests, he added.

"We've been talking with a number of developers. One of the renewable energy developers told us he needs power backup," Nelson said. "He is a gas plant developer."

Nelson said proponents are not looking at a "pie-in-the-sky" system but one that's usable and feasible.

Speaking to those seated at the table, like Tim Hafen, Mike Cosgrove from America West Homes and Dan Simmons, who works for Focus Property Group, he said, "If you ladies and gentlemen are behind this, we got a much better chance."

Cosgrove said he sees the advantages of a natural gas pipeline into Pahrump for commercial development. He added there are also a lot of residential subdivisions already approved for construction that could use natural gas.

Cosgrove, a former Pahrump town manager, said the town was approached about a natural gas pipeline before, but the growth wasn't there. He said some industrial developments looked elsewhere because there wasn't a natural gas pipeline into Pahrump.

Nelson said Ausra Technologies looked at Pahrump as a place to locate a 130,000-square-foot solar, thermal power manufacturing center to produce giant mirrors, absorber tubes and other components, but ended up choosing Las Vegas. That plant was dedicated Monday.

Cosgrove said America West will build 5,000 homes at full build-out. "Mountain Falls, they wanted natural gas when they came in," he said.

Nelson said there could be other commercial customers, like the proposed federal detention center, Desert View Regional Medical Center and the large casinos.

Nelson said he prefers a 40-mile pipeline from Goodsprings to Pahrump, rather than a 42-mile route over Mountain Springs, since the terrain would be more favorable to construction.

"Solar would not supply the base load they would need. The gas plant will be base load," Nelson said.

He proposed a multi-modal environmental impact statement instead of just an EIS on the gas pipeline, from Pahrump to Ivanpah, where a new airport is scheduled. An intermodal EIS would study roads, rail and power lines as well as a gas pipeline and probably take two to three years to complete, he said.

The power plant would be north of Pahrump, Nelson said.

Hafen said existing homes may not be easy to retrofit from all-electric to natural gas. But Pahrump Regional Planning Commission Chairman Mark Kimball said 5,000 homes have already been approved for construction, and in the next decade Pahrump will be looking at another 15,000 to 20,000 homes going up.

HBH Gas Systems, which states in a brochure it's the nation's leader in central gas distribution systems, would construct the pipeline, Nelson said.

The Nevada Department of Transportation would have to approve the right-of-way for the multi-modal utility corridor, which will come up alongside Highway 160, but Nelson said that shouldn't be a problem.

Valley Electric Association Chief Executive Officer Tom Husted announced to VEA members at an annual dinner Dec. 7, the cooperative signed an agreement with Sempra Energy and the Royal Bank of Scotland to look at the possibility of a gas-fired power plant in Nye County. In a telephone interview Husted said he was unaware of the plans BEC Environmental was discussing Monday.

"The question at this point, would everybody buy off at this point and put in the gas?" Nelson asked.

Simmons said, "Getting somebody to make a firm commitment in this market might be a little bit tough."

Nelson also pitched the idea of a training program in construction of LEED energy-efficient buildings and alternative energy facilities. He said Pahrump would be the only site to offer training in such a program, except possibly some programs offered by trade unions.

Developers in the room sounded interested in sending letters of interest on the gas pipeline, but no commitment at this point.














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