Gas plant eyed in area near Maine capital city

Maine Natural Gas inks plan for plant in Augusta area

AUGUSTA, Maine (AP) -- Plans are taking shape to build a natural gas plant in the Augusta area.

Maine Natural Gas says it's signed a letter of intent with Xpress Natural Gas LLC, which has operations throughout New England. Under the agreement, Maine Natural Gas will deliver large quantities of piped gas to a compressed natural gas production facility that Xpress will build in the Augusta area. Xpress will then truck the gas to customers throughout Maine.

The two companies also are discussing the possibility of Xpress acting as a "rolling pipeline" using trucked natural gas to expand natural gas service to more Maine communities, both short-term in advance of a planned pipeline and long-term to towns where a pipeline may not be feasible for several years.