Calgary, Canada – August 29, 2002: Canadian Hydro Developers, Inc. (TSX:KHD) and partner Brascan Power today announced the signing of a 20-year contract for the sale of all power to be generated from their joint venture 30 MW Pingston Hydroelectric Plant, currently under construction in southeastern British Columbia, to BC Hydro.
Expected to be operational by mid-December 2002, the Pingston project is a run-of-river, green energy source, which consists of a significant intake structure, four kilometer tunnel, two kilometer penstock, powerhouse and transmission interconnection. Construction is progressing well: structural work on the tunnel is near completion, 50% of the penstock is installed, the turbine and electronic controls in the powerhouse are installed, and the interconnection will be finished in September. Total capital cost for the plant is estimated to be $52 million.
"The contracting of Pingston's power to BC Hydro prior to completion is confirmation of the strength of this marquis asset and its ability to produce long-term, sustainable cash flow from clean, renewable power for decades to come," said John Keating, Chief Executive Officer of Canadian Hydro.
"We are very pleased to have a signed agreement with Pingston's partners, both pioneers and leading edge green energy developers in Canada," said Gary Rodford, Executive Vice President, Generation of BC Hydro. "The output from the Pingston project will help meet our customers' growing need for electricity and meet our commitment to source at least 10% of our future load from new, green resources."
Canadian Hydro and Brascan Power are currently seeking regulatory approval to expand the plant's capacity by an additional 15 MW or 50% after it becomes operational later this year. The power from the Pingston Expansion will be sold to BC Hydro under the existing 20-year contract on the condition that it becomes operational within the next five years.
About Canadian Hydro Developers, Inc.
Canadian Hydro is a developer, owner and operator of thirteen generating facilities: nine "run of river" hydroelectric plants, three wind plants and one natural gas-fired plant, totalling 88.9 MW net to the Company's interest. In addition, the Pingston Hydroelectric Plant (15 MW net) is currently under construction and approximately 223 MW are in various stages of permitting for construction in the next five years. All of the Company's plants and projects are located in British Columbia, Alberta, and Ontario. Canadian Hydro's wind and water plants are certified under the EcoLogoTM program.
Canadian Hydro Developers, Inc. is committed to the concept of low-impact power generation. Through its wind and run-of-river hydro facilities, Canadian Hydro is demonstrating that commitment to the benefit of the environment and its shareholders.
About Brascan Power
Brascan Power comprises the power generating distribution and marketing operations of Brascan Corporation. Brascan Power is one of the lowest cost producers of hydroelectric power in North America, with 37 hydroelectric power plants and one co-generation facility and combined generating capacity of over 1,600 megawatts (MW). Brascan Corporation owns, manages and builds businesses which generate sustainable cash flows. In addition to power, current operations are largely in the real estate and financial sectors.
Brascan is listed on the Toronto Stock Exchange under the symbol BNN.a and the New York Stock Exchange under the symbol BNN. More information is available at www.brascancorp.com.
For further information, please contact:
Canadian Hydro Developers
John Keating, CEO
Email: john@canhydro.com
phone: 403.298.0251
Kent Brown, CFO
Email: kent@canhydro.com
Phone: 403.298.0253
Common shares outstanding: 49,704,835
Internet: www.canhydro.com
Brascan Power
Katherine C. Vyse
SVP, Investor Relations and Communications
Email: kvyse@brascancorp.com
Phone: 416-369-8246