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 OMAHA, Neb., Jan. 5 /PRNewswire/ -- California Energy Company Inc. (NYSE: CE) has announced the signing of two separate joint venture agreements related to the development of international projects, which are intended to augment and accelerate CE's development capabilities in the overseas energy markets.
 In the first agreement, CE has formed a joint venture with Distral S.A. of the Lancaster Distral Group, a South American engineering and manufacturing company. The Lancaster Distral Group also has corporate and project development offices in Dania, Fla. Distral is a turnkey EPC contractor and a supplier of boilers, generators, and heavy equipment, with manufacturing facilities in Venezuela, Colombia, and the United States. Distral has constructed, engineered, or supplied equipment to numerous coal, gas and hydroelectric power plants located in Central and South America. The agreement provides for joint development of projects in Central America, South America, and the Caribbean. Distral additionally brings CE significant knowledge of Latin America markets, cultural issues, and political relationships.
 The second agreement is a joint venture with Peter Kiewit Sons' Inc., CE's major shareholder (approximately 35%). Kiewit is a large construction and mining firm with extensive experience in the energy business. Kiewit has built numerous power plants in the U.S. and also built large infrastructure projects and industrial facilities worldwide. The agreement with Kiewit includes the joint development of power projects located in the Philippines, Indonesia, and countries outside the region covered by the Distral joint venture.
 Both agreements have initial terms of three years and include repowerings, privatization purchases, and acquisition opportunities. Development expenses will be shared equally, and CE will hold a minimum 50% of the equity in the projects and will act as operator of the projects.
 President and Chief Executive Officer David Sokol stated, "We believe the international market holds the majority of new opportunities for power development in the next several years, as the domestic market continues to mature. We are fortunate to have formed strategic alliances with two of the most capable and respected firms in the industry to augment our current international project development efforts." Sokol added, "The agreements allow us to materially leverage our developmental capabilities, diversify our risk portfolio and significantly reduce future requirements to raise additional equity for our existing development projects."
 California Energy is an international developer and owner of environmentally responsible electrical and power generation facilities.
 -0- 1/5/94
 /CONTACT: David L. Sokol, President and Chief Executive Officer, or David W. Cox, Vice President, of California Energy 402-330-8900/

CO: California Energy Company, Inc.; Distral S.A.; Lancaster Distral
 Group; Peter Kiewit Sons' Inc. ST: Nebraska IN: UTL SU: JVN

AL-DB -- MN007 -- 9449 01/05/94 15:48 EST
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Publication:PR Newswire
Date:Jan 5, 1994

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