Innergex increases its net installed capacity by 53% as Ashlu Creek starts commercial operation
LONGUEUIL, QC — Innergex Renewable Energy Inc. announced earlier this month that the Ashlu Creek run-of-river hydroelectric power generating plant, with a net installed capacity of 49.9 MW, is now in commercial operation. As the required performance tests were carried out successfully, BC Hydro has retroactively set the official commercial operation start date at November 29, 2009. With Ashlu Creek now in operation, the net installed capacity of Innergex's portfolio of run-of-river hydroelectric power generating facilities and wind farms grows from 95 MW to 145 MW, representing a 53% increase when taking into account the Corporation's 16.1% ownership of Innergex Power Income Fund.
According to Michel Letellier, President and Chief Executive Officer of Innergex, "Ashlu Creek's yearly energy output, estimated at 265,000 MW-hr, represents a significant contribution to our total power generation capacity. The start of commercial operation at Ashlu Creek is good news for our investors, as it will translate into concrete additional annual revenues estimated at $18 million, and a contribution of $15.1 million to the annual operating profits (EBITDA)."
As explained by Letellier, "The support of British Columbia's Liberal government for clean and renewable energy projects, such as Ashlu Creek, certainly contributes to the fight against climate change. The new facility will supply enough electricity for 24,000 homes each year. By comparison, an equivalent-sized coal-fired power plant releases approximately 219,000 tons of carbon dioxide (CO2) gas, while Ashlu Creek is emission-free."
The Ashlu Creek facility is located on Ashlu Creek, a tributary of the Squamish River, approximately 35 kilometers northwest of Squamish, British Columbia. Wholly-owned by Innergex, the power plant was built at a cost of $138 million. Its production is covered by a 30-year power purchasing agreement signed with BC Hydro. The project will also benefit from the federal government's ecoENERGY initiative, which offers a $10/MW-hr incentive for the first ten years of operations.
Innergex Renewable Energy Inc. is a developer, owner and operator of run-of-river hydroelectric facilities and wind energy projects in North America. For more information visit www.innergex.com.
December 23, 2009 By Newswire
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