Developer of Nanticoke and North Dumfries Energy Centers, CPV, Announces Financing for $900 Million CPV Sentinel Power Station in Riverside County, California

TORONTO, ONTARIO--(Marketwire - June 15, 2011) - CPV Canada Development ULC, a subsidiary of Competitive Power Ventures, Inc. ("CPV"), the developer of the 1,200-Megawatt (MW) CPV Nanticoke (Nanticoke, Ontario) and 400 MW CPV North Dumfries (Cambridge, Ontario) Energy Centers, announced that it has completed financial close on the 800 (MW) CPV Sentinel Power Project in southern California, marking the largest financing in the U.S. thermal power market this year.

CPV completed the deal along with its two partners on the project, GE Energy Financial Services and Diamond Generating Corporation ("DGC").

The CPV Sentinel project is located near Desert Hot Springs, five miles northwest of Palm Springs. It is expected to create 300 construction jobs at peak with a $40 million payroll, along with nearly 400 indirect jobs with a $15 million payroll. The project will provide an estimated $30 million in sales tax during construction and an estimated $6.4 million in annual property taxes once operational.

CPV, GE Energy Financial Services and DGC announced that 23 banks—working with lead arrangers MUFG, Royal Bank of Scotland, ING, Natixis and Sumitomo Mitsui Banking Corp.—agreed to provide credit facilities of nearly $800 million for construction and other capital needs. With almost $2 billion of commitments received from lenders, interest in the project was so high that the syndicated loan was 2.4 times oversubscribed. Additional details of the financing were not disclosed.

With all permits finalized and the debt financing in place, construction of the 800MW project is scheduled to start immediately, with CPV Sentinel forecast for commercial operation in the summer of 2013.

"The Sentinel project is bringing jobs, clean energy and ratepayer benefits to Southern California," said Doug Egan, CEO of Competitive Power Ventures. "CPV is committed to bridging the gap to the clean energy future through projects that truly benefit the region and beyond and we look forward to reaching this milestone with all of our projects across North America."

The CPV Sentinel project, powered by GE Energy turbine generators, will help prevent blackouts during extremely hot weather by providing peak power on demand. Given CPV Sentinel's close proximity to 600 MW of wind farms, the project also will support California in meeting its goal of generating 33 percent of its power from renewable sources by 2020 by facilitating the integration of wind and solar power into the electric grid. California is requiring the largest addition of renewable generation of any U.S. state. When the wind doesn't blow or the sun doesn't shine, CPV Sentinel can backstop the lost generation.

The CPV Sentinel project will supply power to the Coachella Valley and Los Angeles Basin under a competitively solicited long-term agreement with Southern California Edison, an Edison International (NYSE:EIX) company, which needs additional capacity for grid reliability and renewable integration. CPV will manage the project while DGC will serve as the plant operator.

CPV, the managing member and developer, owns 25 percent of the project, while DGC owns 50 percent and GE Energy Financial Services owns 25 percent.

About Competitive Power Ventures

Competitive Power Ventures, LLC (CPV) is dedicated to increasing North America's sustainability; both economically and environmentally. Using domestically available energy sources, like wind and natural gas, and partnering with host communities to support their tax base and school districts, CPV works to stabilize and improve local and state economies. CPV's corporate mission is built around a belief that progressive companies can be powerful agents of change for a better world and a cleaner environment. To this end, we have focused our core activities around developing and operating energy facilities that can make a significant difference in improving the environments and economic circumstances of the regions in which they are located. Headquartered in Silver Spring, Md., with offices in Braintree, Mass., San Francisco, Calif., and Toronto, Ontario, the company currently has 5,965 MW of conventional generation projects in various stages of development. The company's Asset Management division has ramped up to more than 4,737 MW of natural gas generation under management and has expanding into wind generation facility management. CPV Renewable Energy Company (REC) is currently developing 4,452 MW of wind power projects across North America, with plans for more. CPV REC has recently expanded its development portfolio to include utility scale solar power generation.