BG North America purchases Dighton Power Plant

BG North America purchases Dighton Power Plant
Press release	13 September 2006

BG North America, a wholly owned subsidiary of BG Group plc (NYSE: BRG), today announced its purchase of 100% interest in the 170MW, gas-fired, Dighton Power Plant located in Bristol County, Massachusetts from Calpine Corporation. BG will pay $90.2 million for the assets of Dighton Power Associates and fund the acquisition through internal sources. The purchase has been approved by the bankruptcy court with closing expected to occur shortly after receiving Federal Energy Regulatory Commission (FERC) and Hart-Scott Rodino approvals.

The Dighton Power Plant is located in Bristol County, Massachusetts and supplies power into the ISO New England (ISO-NE), a well established, mature and liquid power market.

Martin Houston, Executive Vice President and Managing Director of BG North America Caribbean and Global LNG says:

"This acquisition is an important milestone for BG as it establishes our position in one of the world's largest power markets. Dighton provides us with a platform to leverage our significant LNG position in the US. We are already a gas supplier to the northeast US and this acquisition will now allow us to add power as part of our energy management services by taking advantage of the flexibility of the efficient Dighton asset.

Power continues to be a strong driver of long-term gas demand and we are looking forward to the exciting possibilities that will come from the integration of the Dighton asset into our North American portfolio."

Notes to Editors:

BG Group

BG Group is a global natural gas business. Active on five continents in over 20 countries, it operates four business segments - Exploration and Production, LNG, Transmission and Distribution, and Power.

BG Group develops, owns and operates gas-fired power generation plants in the following areas:

Europe and Central Asia

Ireland - Premier Power Limited - a wholly owned subsidiary of BG Group
UK - Seabank Power Limited - 50:50 joint venture with Scottish and Southern Energy
Italy - BG Group 33.68% interest in SERENE, S.p.A., a joint venture company

Asia Pacific

Malaysia - Genting Sanyen Power - BG has a 20% interest and holds a 21 year contract to sell power to the Malaysian national power company.
The Philippines - The Santa Rita Power Station is owned by First Gas Power Corporation (FGPC), a 100% subsidiary of First Gas Holdings Corporation (FGHC), in which BG Group has a 40% interest. The remaining 60% of FGHC is owned by First Generation Holdings Corporation (First Generation), which is a subsidiary of First Philippines Holdings Corporation (FPHC).

BG North America

In the USA, BG LNG Services LLC, (BGLS) holds, through 2028, 100% of the capacity rights at North America's largest operating LNG importation terminal, Lake Charles in Louisiana. This facility has the capability to receive, store, vaporise and deliver an average daily send out of 1.8 billion cubic feet per day (bcf/d).
Additionally, BGLS currently holds supply and regasification rights of 446 million standard cubic feet per day (mmscf/d) for 22 years at the Elba Island LNG terminal near Savannah, Georgia. Expansion work is expected to increase our throughput capacity to 1.17 bcf/d from 2012.

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There are matters discussed in this media information that are forward looking statements. Such statements are only predictions and actual events or results may differ materially. For a discussion of important factors which could cause actual results to differ from the forward looking statements, refer to the Company's annual report and accounts for the year ended 31 December 2005. The Company does not undertake any obligation to update publicly, or revise, forward looking statements, whether as a result of new information, future events or otherwise, except to the extent legally required.

Cautionary note to US investors - The United States Securities and Exchange Commission permits oil and gas companies, in their filings with the SEC, to disclose only proved reserves that a company has demonstrated by actual production or conclusive formation tests to be economically and legally producible under existing economic and operating conditions. We use certain terms in this press release such as "proved and probable reserves", "initial reserves" and "unbooked resources", that the SEC's guidelines strictly prohibit us from including in filings with the SEC. US investors are urged to consider closely the disclosure in our Form 20-F, File No. 1-09337, available from us at BG Group, 100 Thames Valley Park Drive, Reading RG6 1PT. You may read and copy this information at the SEC's public reference room, located at 100 F Street, NE, Room 1580, Washington, D.C. 20549. Please call the SEC at 1-800-SEC-0330 for further information on the public reference room. This filing is also avail able at the internet website maintained by SEC at http://www.sec.gov.