Enova, Pacific Enterprises Get Mexican Gas Contract
Enova Corp and Pacific Enterprises said Wednesday that they were awarded a license to build and operate a natural gas system in the Chihuahua region of Mexico. Distribuidora de Gas Natural, a group including the two California companies, is the first private-sector firm to get a license from the Mexican Energy Regulatory Commission to operate in the region, the firms said.
Members of the group include San Diego-based Enova subsidiary Enova International; Los Angeles-based Pacific Enterprises subsidiary Pacific Enterprises International; and Proxima Gas, a Mexican investment and development company. Enova and Pacific Enterprises said they expect to invest about $50 million in the project and serve at least 50,000 customers during the first five years of operations. Chihuahua is a city of about 630,000 in northern Mexico.
For the record:
12:00 a.m. March 26, 1997 For the Record
Los Angeles Times Wednesday March 26, 1997 Home Edition Business Part D Page 3 Financial Desk 1 inches; 30 words Type of Material: Correction
Pacific Enterprises-Enova--The pending merger of Enova Corp. and Pacific Enterprises is a “merger of equals,” according to both companies. A Briefly item last Thursday incorrectly described the combination.
In August, the group was awarded a license by the Mexican commission to build and operate a natural gas infrastructure system in Mexicali in Baja California.Shares of Enova closed unchanged at $22. Shares of Pacific Enterprises fell 25 cents to close at $30.50. Both trade on the New York Stock Exchange.Enova’s $4.3-billion bid to acquire Pacific Enterprises and create the nation’s largest gas and electric utility is awaiting regulatory approval.
