Osaka Gas announced today the establishment of its two wholly-owned subsidiaries in relation to power generation business located at Senboku LNG receiving terminals.  The two affiliates are named Senboku Natural Gas Power Generation Co., Ltd. (*1) and Senboku Power Fuel Co., Ltd.(*2), respectively.  The former will be responsible for ownership and operation of power plants, and the latter procurement and sale of LNG for the power plant.

The power plant, consisting of four units with the total generation capacity of 1,109MW, is currently under construction and planned to go into operation in phases with the first plant scheduled in April 2009.

(*1) to be established on November 4, 2008, with the capital of US$5 million (US$1=\100)
(*2) to be established on November 4, 2008, with the capital of US$1.2 million (US$1=\100)


Overview of Senboku Power Plant

a.	generation system: gas turbine combined-cycle
b.	installed capacity: 1.109MW (net, at ambient temperature of 5 degrees celcius) Units 1 & 2 each with the capacity of 277MW, and Units 3 & 4 each with 277.5MW
c.	fuel: natural gas (LNG)
d.	locations of generators; Senboku Terminal 1 and 2

Milestones of the power plant

May 2002:	launch of feasibility study
May 18, 2005:	submission of environmental impact study to authorities
Feb. 28, 2006:	official environmental approvals gained from authorities
Oct. 2, 2008:	start of construction
Commercial launch of power generators are scheduled for April (unit 2), May (unit1), October (unit 4), and November (unit 3) in 2009.