Seattle (Platts)--28Jul2008

Oregon's siting council Friday approved Caithness Shepherd Flats'
proposal to build a 909-MW wind farm near Arlington, Oregon, that would be the
largest in the US Northwest when built.

The project would cover 32,100 acres of private land in Gilliam and
Morrow counties that flank the Columbia River, according to documents filed
with the Energy Facility Siting Council by Caithness Shepherd Flats, a limited
partnership of New York-based Caithness Energy Group.

The developer would permit, build, own and operate the wind project that
includes a 230-kV transmission line that it would build to interconnect to the
Bonneville Power Administration's grid. BPA has an environmental review
underway but has not yet published a decision on whether it has the capacity
to connect the entire project.

If the project moves forward, BPA would expand its existing Slatt
substation yard in Gilliam County, adding a 230 kV yard. The developer would
build two to three collector substations.

The project would be built in phases at a pace of 250 MW a year,
Caithness Shepherd Flats said. BPA does not plan to buy power and names of
potential power buyers were not disclosed.

Caithness has plants with total generating capacity of about 2,846 MW,
including renewables and gas-fired plants.