News Release
Jan. 13, 1999

DUKE/FLUOR DANIEL TO BUILD NEW 550-MEGAWATT POWER PLANT IN MICHIGAN

CHARLOTTE, N.C. – Duke/Fluor Daniel announced today that it has been awarded a turnkey contract by Dearborn Industrial Generation, L.L.C., which is a company formed by CMS Energy Corporation and DTE Energy Services, to build a 550-megawatt power plant at the Rouge complex in Dearborn, Michigan. Duke/Fluor Daniel will provide engineering, procurement, construction, commissioning, start-up and testing services for the $240 million project. Duke/Fluor Daniel’s contract value was not disclosed.

"We are very pleased to be working with CMS Energy again and with DTE Energy Services for the first time on this major new cogeneration project in Michigan," said Clarence Ray, Jr., president of Duke/Fluor Daniel. "This clean, energy-efficient cogeneration plant will significantly reduce air emissions by replacing the existing 75-year-old powerhouse at Rouge."

The new cogeneration plant will be fueled by natural gas and blast-furnace gas, a by-product of the steel-making process, and will provide electric power and steam for the Rouge Steel Company and Ford Motor Company facilities. Engineering has been underway since November 1998, and construction mobilization began last month. The first combustion turbine generator is scheduled to begin operation in simple cycle by July 1999 and combined cycle in the spring of 2000, with full operation of the entire facility expected in June 2001. At the project’s peak, Duke/Fluor Daniel will employ 75 workers at its office in Irvine, Calif., and 600 at the plant construction site.

In the late 1980s, Fluor Daniel built for CMS Energy and its partners the 1,370-megawatt Midland Cogeneration Venture (MCV) plant in Midland, Mich., the largest such project in operation in North America.

Duke/Fluor Daniel, a partnership formed in 1989 by Duke Energy and Fluor Daniel, provides comprehensive engineering, procurement, construction and plant operating services for fossil-fueled electric power generation facilities worldwide. Visit Duke/Fluor Daniel on the Internet at www.d-fd.com.

Duke Energy (NYSE:DUK) is a global energy company with more than $26 billion in assets. Duke Energy companies develop, build, own and operate energy facilities, and provide engineering, management, operating, maintenance and environmental services. Fluor Daniel is the engineering, construction, maintenance, technical and diversified services subsidiary of Fluor Corporation (NYSE:FLR). In 1998, Fluor Corporation’s sales were $13.5 billion.

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