Constellation Energy Purchases Wind Power from Horizon Wind

Constellation Energy has announced that it has signed an 18-year agreement with Horizon Wind Energy to purchase wind power from Horizon's Twin Groves II facility located in Bloomingon, Illinois.

The Twin Groves II project, located in eastern McLean county, is 120-turbine, 198 megawatt wind farm that is expected to finish production in 2008. The actual contract will start when the farm has finished construction and is producing power.

Mayo Shattuck, chairman, president and CEO of Constellation Energy said, "This agreement allows Constellation Energy to acquire an attractive and long-term source of clean and emissions-free generating capacity in the state of Illinois. It places Constellation Energy in a position to meet the demands of the increasing number of consumers interested in purchasing energy from environmentally friendly sources."

Michael Skelly, chief development officer of Horizon Wind Energy, supports the agreement as well. "We look forward to working with Constellation Energy, the nation's largest wholesale power seller, and applaud Constellation Energy for taking action to supply our country with clean, renewable energy," said Skelly. "We thank the community and local citizens for their enthusiasm and support, as well as the many landowners who are hosting this project."

According to Constellation Engery's website, they are a Fortune 200 energy company based out of Baltimore, Maryland, and call themselves "the nation's leading supplier of competitive electricity to large commercial and industrial customers."

The company has seen much success recently, providing a 23 percent total return to shareholders in 2006, earning $3.61 per share which is up 25 percent from 2005's $2.89 per share. They also saw a total revenue of $19.3 billion in 2006.

Horizon Wind Energy, formerly known as Zilkha Renewable Energy, builds, owns, and manages wind farms in New York, Iowa, Pennsylvania, Washington and Oklahoma, according to their website. They are currently constructing farms in Minnesota, Oregon, Texas and Illinois. The company was acquired by investment banking company Goldman Sachs in 2005.

According to an article from Renewable Energy Access, wind power is on the rise. Over 4,500 megawatts of wind power projects are currently in production this year, all designed to be ready early next year. At the end of the first quarter of 2007, the total installed wind capacity of the country was 11,699 megawatts.

The article mentions a number of wind farm projects in the Midwest, including Horizons. Along with Horizon's Twin Groves II there is a 150 megawatt project from PPM and a 205 megawatt Fentonwind farm. Over 400 megawatts of power are in production in the Midwest.

Sources:

http://www.prnewswire.com/cgi-bin/stories.pl?ACCT=104&STORY=/www/story/07-25-2007/0004632749&EDATE=

http://www.constellation.com/portal/site/constellation/menuitem.c5ed679d8e47f0875fb60610025166a0/

http://www.horizonwind.com/company/owners.aspx

http://www.renewableenergyaccess.com/rea/news/story?id=48795