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Pristine Power announces reservation of gas turbine production slots for York and first test production at East Windsor

^{Published on 2009-06-15 13:46:36, Last Modified on 2009-06-15 13:48:22 - Market Wire}
 

 CALGARY, June 15 /CNW/ - Pristine Power Inc. (TSX: PPX), an independent Canadian developer and operator of electricity and steam generation facilities, today announced that it has entered into an agreement with Siemens Energy, Inc. ("Siemens") to reserve two Siemens STG6-PAC-5000F combustion turbine generator packages to be used in the 393 megawatt (MW) York Energy Centre project. The agreement also establishes key terms and conditions for the purchase of such turbines, including price, performance specifications, delivery dates, warranties and other performance assurances. A definitive purchase agreement with Siemens is expected to be entered into in the third quarter of 2009. Delivery of the turbines is scheduled for early 2011. "The signing of the turbine reservation agreement represents a key commercial milestone for the York Energy Centre," said Mr. Jeffry M. Myers, President and Chief Executive Officer of Pristine. "Completion of successful negotiations with Siemens means that the York Energy Centre project remains on schedule. We are actively engaged in the permitting process as well as negotiation of other key contracts. When complete, the York Energy Centre is expected to provide critical support to the electricity infrastructure in the northern York region, providing necessary electricity generation during peak hours and supporting overall transmission grid stability in the region. Moreover, we expect that the York Energy Centre project will provide up to 150 full-time jobs during construction and will make a significant long-term contribution to the local economy in the Township of King and northern York Region." The Company also reported that both GE LM6000 turbines at the East Windsor Cogeneration Centre project have achieved first fire and delivered the project's first megawatts to the local electricity grid. Commissioning of the project is ongoing and continues to be on schedule for the commencement of commercial operations in the third quarter of 2009. "First fire and grid deliveries of electricity at our East Windsor project is a major step toward commercial operations," added Mr. Myers. "We continue to make progress on this project and it remains on budget and on schedule for commercial operations in the third quarter of this year." About the York Energy Centre project: The York Energy Centre 393 MW natural gas fired power plant located in the Township of King, Ontario, is to be owned jointly by Pristine Power Inc. and an affiliate of Harbert Power, LLC. The project is expected to be constructed for a total cost of approximately $365 million with commercial operations anticipated to commence by the end of 2011. Pristine holds a 50% interest in the York Energy Centre project, and is managing the construction and operation of this project. About the East Windsor Cogeneration Centre project: The East Windsor Cogeneration Centre 84 MW natural gas-fired cogeneration facility in Windsor, Ontario, is owned jointly by Fort Chicago Energy Partners LP, CFI Infrastructure Opportunities LP and Pristine through a jointly owned limited partnership. The facility will generate reliable clean power for over 80,000 homes and steam for Ford's Windsor Engine Plant operations once completed. The project is expected to be constructed for total capital costs of approximately $207 million with commercial operations anticipated to commence by the end of the third quarter of 2009. Pristine Power holds an effective 25% interest in the East Windsor Cogeneration Centre and is managing the construction and operation of this project. Cautionary Statement Regarding Forward-Looking Information Certain statements in this news release may constitute "forward-looking information" or "forward-looking statements" which involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company or industry results to be materially different from any future results, performance or achievements expressed or implied by such forward-looking information. When used in this news release, such information uses such words as "estimates", "expects", "plans", "anticipates" and other similar terminology. This information reflects the Company's current expectations regarding future events, including the development, construction and operation of the York Energy Centre and East Windsor Cogeneration Centre projects and speaks only as of the date of this news release. Forward-looking information involves significant uncertainties, should not be read as a guarantee of future performance or results, and will not necessarily be an accurate indication of whether or not such results will be achieved. A number of factors could cause actual results to differ materially from the results discussed in the forward-looking information. Although the forward-looking information in this news release is based upon what management of the Company believes are reasonable assumptions, the Company cannot assure investors that actual results will be consistent with this forward-looking information. This forward-looking information is provided as of the date of this news release, and, subject to applicable securities laws, the Company assumes no obligation to update or revise such information to reflect new events or circumstances. About Pristine Pristine (TSX: PPX) is in the business of developing, owning and operating independent power plants that produce and sell electricity and in some cases, sell process steam to industrial users. Pristine capitalizes on opportunities in the independent power market by actively pursuing the development of dependable, cost-effective and environmentally responsible power generation facilities utilizing technology with proven past performance. Pristine pursues a mix of large gas-fired, bioenergy and hydroelectric projects, and smaller replicable waste heat recovery ERG(R) and bioenergy projects. Pristine currently has two projects in operation, one under construction, and two under contract and in advanced development. Pristine is developing projects in Ontario, British Columbia and the Western United States. Visit [ www.pristinepower.ca ] for more information.

For further information: Jeffry M. Myers, President & Chief Executive Officer, Telephone: (403) 444-5571, Fax: (403) 444-6784; Geoffrey D. Krause, Chief Financial Officer, Telephone: (403) 444-6405, Fax: (403) 444-6784