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1985, representatives of the partners and the partnership
continued to meet on matters concerning the partnership and the
project. There were numerous meetings of the partnership’s
management, tax, and finance committees. ANG continued to
maintain insurance on the project, paying the insurance premiums
out of project revenues. The partnership continued to be named
as the insured party on these insurance policies.
The Project’s Improving Financial Situation
During August 1985, DOE advanced approximately $1,597,000 to
cover project expenses. The advance was repaid to DOE in
December 1985 out of project revenues. After August 1985, DOE
provided no other funds for the project.
For the 6 months following August 1, 1985, cumulative
revenues from the Great Plains project exceeded cumulative
expenses. The project continued to operate with a positive
cashflow in 1985, 1986, and 1987, accumulating a surplus of more
than $130 million. For the 11 months ended June 30, 1986, the
project generated positive cashflow of about $57 million. For
the year ended June 30, 1987, the project generated positive
cashflow of about $16 million. ANG continued to use project
revenues to operate the gasification plant, with excess revenues’
being segregated in separate accounts.
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