Algonquin Power + Utilities Accomplishes Commercial Power Production of First Phase of Red Lily Wind Project

Algonquin Power & Utilities (APUC), declared that it has accomplished the commercial power production of t the phase one of the 26.4 MW Red Lily Wind Project.

The project located in south-eastern Saskatchewan has entered into a power purchase agreement (PPA) with SaskPower.

The Red Lily I project incorporates 16  Vestas V82 wind turbine generators. The project located at a place with effective wind source is completed with an investment of around $69 million. The Red Lily wind project has entered into a 25 year power purchase agreement with SaskPower with a provision for yearly adjustment towards inflation. The PPA signed with SaskPower is anticipated to generate $7.5 million as revenue for the year 2011 and for the year 2012 full revenue of $8 million will be received.

Algonquin Power, the electrical generation auxiliary company of APUC, has offered the necessary development and building services and will continue to provide the regular management and operational services to the project. APUC also has secured the land rights for extra lands to continue the second phase of the project. The second phase when completed will add an extra106 MW to the existing power production capability.