EXHIBIT 99

                                        Media Contacts: Jef Freeman-Cogentrix
                                                                 704-525-3800
                                           Jeff Leichtman-Bechtel Enterprises
                                                                 415-768-9202
                                                          Brian Hertzog-USGen
                                                                 301-718-6807

                              NEWS RELEASE

        COGENTRIX ENERGY TO ACQUIRE SELECTED DOMESTIC ENERGY ASSETS 
                         OF BECHTEL ENTERPRISES

CHARLOTTE, NC-March 17, 1998 - Cogentrix Energy, Inc. has signed an agreement
with Bechtel Enterprises, Inc. to acquire Bechtel's ownership interests in 
twelve electric generating facilities and one interstate natural gas pipeline
in the United States.

     The acquisition of these facilities will provide Cogentrix with a net 
equity interest of 360 megawatts in a diverse generating portfolio that 
comprises over 2,424 megawatts in total plant capacity.

     The assets are located in New Jersey, New York, Pennsylvania, West 
Virginia, Massachusetts, and Florida.  Nine of the generating facilities were
developed, are managed and are owned in part by U.S. Generating Company
(USGen).  Last fall, San Francisco based PG&E Corporation (NYSE: PCG) 
acquired Bechtel's interest in USGen.  Because regulatory constraints limit
PG&E Corporation's ownership stake in certain facilities, Bechtel sought a 
third party to acquire its interests in facilities that PG&E Corporation was
prohibited from acquiring, as well as other U.S power generation assets it 
owns.

     For Cogentrix, which last week announced it had signed an agreement to 
acquire two operating cogeneration plants from LS Power Corporation, this 
acquisition of the Bechtel ownership interests represents another major step
forward in its strategic initiative to broaden its presence in the domestic
U.S. electric generation market.  Upon the completion of the Bechtel 
Enterprises and LS Power Corporation asset acquisitions, the Cogentrix 
domestic generating portfolio will increase by over 725 megawatts to 
approximately 1700 megawatts.



     David Lewis, vice chairman and chief executive officer of Cogentrix,
stated, "Through the diligent efforts of many individuals over the past two
years, Cogentrix has been discreetly seeking opportunities to expand the 
Company's domestic presence.  The acquisition of Bechtel's ownership 
interests in generation plants in the Northeast and Florida will complement
our long-standing operations in the Southeast and the assets we have recently
signed an agreement to acquire in the Midwest.  This expansion in our asset
base substantially advances our strategic goals by propelling Cogentrix into
a much broader national presence.  Our strength as a Company rests on solid 
performance in the generation of electricity and industrial thermal energy 
and this tradition will continue in the future.  We are excited at the 
prospects of working with our new partners at U.S. Generating Company and by
the opportunity to continue the fine work begun by Bechtel at these plants."

     "We are extremely pleased with the effort that has been undertaken to 
identify a strong partner like Cogentrix to assume our role as an investor
in these power generation and fuel transportation facilities," said Paul 
Unruh, president of Bechtel Enterprises.  "While we will no longer be a part
of the USGen ownership team, Bechtel will remain active as a developer, 
contractor, investor and owner in the independent power market worldwide, 
including North America."

     Welcoming the announcement of the agreement, USGen's Executive Vice
President and Chief Operating Officer Chris Iribe said, "USGen looks forward
to working with Cogentrix and to building on the strong record of success
established with Bechtel at these plants.  With the experience and expertise
Cogentrix brings, I have every confidence we will do exactly that."

     Cogentrix Energy, headquartered in Charlotte, NC, develops, owns and 
operates domestic generation and other power assets in the United States and
internationally.  In addition to offices in the United States, the Company 
maintains offices in Singapore, India, China and Brazil.

     Bechtel Enterprises is the development, financing, and ownership 
affiliate of the Bechtel organization, a premier engineering, construction,
and project management company.  It is a leader in the privatized 
infrastructure development market with ownership interests in eight 
world-class affiliate companies serving the power generation, water & 
wastewater, transportation, and technology sectors.  Bechtel has been at
the center of energy development since the 1940's, having built more than
450 power stations with a total generating capacity exceeding 250,000 
megawatts.

     USGen, which is wholly owned by PG&E Corporation, is a competitive 
power generation company serving both wholesale and large industrial 
customers.  Through affiliates, USGen owns and manages a $5 billion 
portfolio of reliable, efficient and environmentally responsible generating 
plants.

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