HOUSTON, Jul 2, 2007 (PrimeNewswire via COMTEX News Network) -- CenterPoint Energy Gas Transmission Company (CEGT), an indirect subsidiary of CenterPoint Energy, Inc. (NYSE:CNP), today announces the execution of contracts to construct compression and pipeline facilities to serve a new power plant with up to 480-megawatts of capacity being built by Southwestern Electric Power Company (SWEPCO), a subsidiary of American Electric Power (NYSE:AEP), in Washington County, Ark. The CEGT facilities will be constructed in eastern Oklahoma and northwest Arkansas.

"We are pleased that we will be providing the pipeline facilities to assist SWEPCO in meeting the growing demand for energy in this area," said Willie Underwood, vice president of marketing for CEGT.

SWEPCO is constructing two simple-cycle natural gas combustion turbines, with a combined capacity of 170 megawatts, are scheduled for completion in July 2007. Another two combustion turbines, with a combined capacity of 170 megawatts, are scheduled for completion in December 2007.

The facilities required to meet the demand will be built in two phases. Phase I, expected to be in service in the third quarter of 2007, will consist of 2,300 feet of 12-inch pipe and a delivery meter station at the power plant. Phase II activities include the addition of a 15,000 horsepower mainline compressor station near Poteau, Okla., along with 15.5 miles of 24-inch pipeline looping of CEGT's Line OM-1. CEGT expects to file an application for Phase II with the Federal Energy Regulatory Commission and anticipates an in-service date in the second quarter of 2009.

Terms of the contracts are confidential.

CenterPoint Energy, Inc., headquartered in Houston, Texas, is a domestic energy delivery company that includes electric transmission & distribution, natural gas distribution, competitive natural gas sales and services, interstate pipelines and field services operations. The company serves more than five million metered customers primarily in Arkansas, Louisiana, Minnesota, Mississippi, Oklahoma, and Texas. Assets total over $17 billion. With about 8,600 employees, CenterPoint Energy and its predecessor companies have been in business for more than 130 years. For more information, visit the Web site at www.CenterPointEnergy.com.

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This news release includes forward-looking statements. Actual events and results may differ materially from those projected. The statements in this news release regarding future financial performance and results of operations and other statements that are not historical facts are forward-looking statements. Factors that could affect actual results include the timing and outcome of appeals from the true-up proceedings, the timing and impact of future regulatory, legislative and IRS decisions, effects of competition, weather variations, changes in CenterPoint Energy's or its subsidiaries' business plans, financial market conditions, the timing and extent of changes in commodity prices, particularly natural gas, the impact of unplanned facility outages , and other factors discussed in CenterPoint Energy's and its subsidiaries' Form 10-Ks for the period ended December 31, 2006, CenterPoint Energy's and its subsidiaries' Form 10-Qs for the period ended March 31, 2007, and other filings with the Securities and Exchange Commission.

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SOURCE: CenterPoint Energy, Inc.

CenterPoint Energy, Inc.
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