I got a call from Tino Monaldo today passing on the results of Dennis Langley's meeting with DOE in Albuquerque. DOE indicated that their current PNM rate is "5.3 cents, exclusive of the demand charge." Tino's consultant claims that factoring in the demand charge yields an effective rate of approximately 7 cents/KWh. Assuming we need to come in at 10% less than the current rate, our bogey is 6.3 cents/KWh. This is at the high end of the range we hoped they'd be in. Additionally, DOE indicated that they need "redundancy" and don't want to rely on PNM for back up power. They want a multiple turbine facility--i.e.,

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