Plutonic Power, GE Submit Bids for More Than $4
Billion in Hydroelectric Projects, Canada's Largest
VANCOUVER, BRITISH COLUMBIA--(Marketwire - Nov. 25, 2008)
Plutonic Power Corporation (TSX:PCC) joined with GE Energy Financial
Services, a unit of GE (NYSE:GE), today in submitting two bids for
hydroelectric power projects costing more than $4 billion, which would be
Canada's largest single private sector hydroelectric generation investment.
The submissions into BC Hydro's 2008 Clean Power Call outline the
development of approximately 1,200 megawatts of clean, run-of-river
hydroelectric capacity (enough to power 330,000 homes) in the Toba and Bute
Inlets along British Columbia's southwest coast, where GE and Plutonic Power
Corporation are already building a 196-megawatt hydroelectric project.
Today's bid submissions are in response to BC Hydro's Request for Proposals
issued in June for 5,000 gigawatt hours (GWh) per year of seasonal and
hourly firm energy to help make British Columbia electricity self-sufficient
by 2016, and meet demand using 90 percent clean domestic generation sources.
BC Hydro says it intends to award energy purchase agreements to winning
bidders from April-June 2009. With capital costs estimated at more than $4
billion, GE Energy Financial Services intends to fund or arrange equity
contributions to the projects, subject to such conditions as satisfactory
due diligence and formal documentation, as well as approvals by investment
committees, boards of directors and regulators. GE Energy Financial Services
also has the right to fund or arrange the debt required for the projects.
"Today's submission is the culmination of four years of planning,
engineering, consultation, permitting and licensing," said Plutonic Power
Corporation Vice-Chair and CEO, Donald McInnes. "We are grateful to our
First Nations partners, and the cities of Powell River and Campbell River
for supporting our bids, reflecting broad public endorsement. These projects
will provide long-term economic and social benefits to these First Nations
and communities in addition to providing BC Hydro with clean electricity."
These projects will expand GE Energy Financial Services' US $4 billion
portfolio of renewable energy investments worldwide.
"GE has an excellent history of supporting companies and projects in British
Columbia, including the Olympics," said Mark Tonner, Managing Director of
Canada at GE Energy Financial Services. "Our joint bids with Plutonic show
our support of green energy generation in British Columbia, potential
progress toward our goal of investing US $6 billion in renewable energy
worldwide by the end of 2010, and reinforcement of GE's ecomagination, a
program to help our customers meet their environmental goals while expanding
our own portfolio of cleaner energy projects."
Bids were submitted today for the following two projects:
The Upper Toba Valley Hydroelectric Project
The Upper Toba Valley Hydroelectric Project, with a generation capacity of
approximately 166 megawatts, consists of three generation facilities that
will connect to the BC Hydro grid through a 230- kilovolt line already under
construction for the Plutonic Power and GE Energy Financial Services East
Toba River and Montrose Creek run-of-river project. The Upper Toba Valley
Hydroelectric Project is expected to be permitted by the end of the second
quarter in 2009. The project will be able to take advantage of
infrastructure already in place in the Toba Valley.
The Bute Inlet Project
The Bute Inlet Project, with generation capacity of approximately 1,027
megawatts, consists of 17 facility sites in three areas: the Homathko,
Southgate and Orford Rivers. The Bute Projects have been registered with
both provincial and federal permitting authorities. A formal application for
an environmental assessment certificate is expected to be submitted in late
2009.
The first project Plutonic is working on with GE, the 196-megawatt, $660
million East Toba River and Montrose Creek run-of-river hydroelectric
project, is fully financed, on-budget and on-schedule to reach commercial
operation by mid-2010. The electricity generated from this project is
contracted to BC Hydro under a 35-year sales contract. About 250 workers are
currently putting up power lines and building generating stations, and
clearing and blasting is under way for the powerhouses as well as excavation
for trenches for buried penstocks. Both intake sites, where the water will
enter the penstocks, have been reached by road, and work to complete the
East Toba diversion prior to winter is under way. The turbine generators are
being manufactured in Austria, penstocks in China and the United States, and
the bifurcation units in Quebec.
About Plutonic Power Corporation
Plutonic Power's vision is to provide leadership and create a legacy through
the development of renewable, reliable, clean energy. Its proposed Green
Power CorridorTM, comprised of 39 facilities, including the flagship $660
million, 196 MW East Toba River/Montrose Creek run-of-river project
currently under construction, have the design capacity to generate enough
energy to meet the annual needs of about 630,000 homes and create
approximately 5,500 person years of employment. Once built, the Green Power
CorridorTM could offset an estimated 4 million tons of CO2 emissions every
year - the equivalent to taking as many as 650,000 vehicles off the road.
Plutonic is committed to working in partnership with First Nations,
stakeholder groups and local communities in the development of all its
run-of-river projects. By developing its suite of projects, Plutonic Power
will help British Columbia realize its goal of becoming electricity
self-sufficient by 2016, meet demand utilizing 90% clean domestic generation
sources and will play a significant role in the fight against climate
change.
About GE Energy Financial Services
GE Energy Financial Services' experts invest globally with a long-term view,
backed by the best of GE's technical know-how and financial strength, across
the capital spectrum in one of the world's most capital-intensive
industries, energy, to help their customers and GE grow. With US $19 billion
in assets, GE Energy Financial Services is based in Stamford, Connecticut.
In renewable energy, GE Energy Financial Services is growing its portfolio
of more than US$4 billion in assets in wind, solar, biomass, hydro and
geothermal power. For more information, visit
www.geenergyfinancialservices.com.
About GE
GE (NYSE:GE) is Imagination at Work - a diversified technology, media and
financial services company focused on solving some of the world's toughest
problems. With products and services ranging from aircraft engines, power
generation, water processing and security technology to medical imaging,
business and consumer financing, media content and advanced materials, GE
serves customers in more than 100 countries and employs more than 300,000
people worldwide. For more information, visit www.ge.com.
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