HAYS, Kan., Dec. 13, 2006 (PRIME NEWSWIRE) -- Following a comprehensive selection process, Sunflower Electric Power Corporation today announced it has completed negotiations with TradeWind Energy, LLC for the purchase of 50.4 megawatts of energy generated by wind turbines at its Smoky Hills Wind Farm.
The project site is located 25 miles west of Salina, just north of Interstate 70 between Ellsworth and Lincoln.
The contract between Sunflower and TradeWind Energy is a 20-year renewable energy purchase agreement. It is anticipated that construction will be completed and energy available to Sunflower prior to the end of 2007.
Bob Johnson, Sunflower's Executive Manager, Engineering and Energy Services said the agreement represents the culmination of a lot of effort on the part of both companies. "We view this agreement as a platform for Sunflower and TradeWind to develop projects together in the future."
Earl Watkins, Sunflower's President and Chief Executive Officer said, "This agreement puts Sunflower squarely at the forefront of renewable energy production in Kansas." Watkins said, "By the end of 2007, Sunflower will have a larger portion of its generation portfolio dedicated to wind than any other utility in Kansas."
Sunflower currently owns a 595 megawatt fleet of coal-based and natural gas generating units located in Finney County, Kansas near Holcomb and Garden City. The addition of this contract means it will have nearly 8% of its generating capacity reliant on the Kansas winds.
Sunflower wants to provide a renewable energy option for its Member systems and use renewable energy, where possible, to avoid higher-cost fuels, like natural gas. Sunflower's Board policy requires this must be accomplished at a cost that does not increase our Member wholesale rates.
Frank Costanza, TradeWind Energy's Sr. Vice President, said, "We have worked very hard to develop this exceptional project and we are quite excited to enter into this agreement with Sunflower and to start construction."
Costanza said the Smoky Hills project will be built in multiple phases and is expected to be capable of generating 250 megawatts of power when completed. "We will soon announce other participants in this phase of the project, and look forward to commencing operations next year."
TradeWind has been developing projects in Kansas, Missouri, Illinois, and other Midwestern States. The company focuses on utility-scale sites characterized by excellent wind potential, interconnection access, and deliverability to utility customers.
In 2006, TradeWind signed an equity and strategic alliance agreement with Enel North America, Inc., a wholly owned subsidiary of Enel S.p.A. The two companies are working to jointly develop wind projects in the Midwest and potentially other regions of the United States.
About Sunflower-
Sunflower Electric Power Corporation is a regional wholesale power supplier that owns and operates a 595 MW system of gas and coal-based generating plants and a 1,200-mile transmission system for the needs of its six member cooperatives who serve 118,000 people spread throughout a 21,000 square mile area in western Kansas. Sunflower also provides power to regional utilities in western Kansas and in ten states. Visit Sunflower's website at http://www.sunflower.net
Sunflower's member cooperatives include Lane-Scott Electric Cooperative, Dighton, Pioneer Electric Cooperative, Ulysses, Prairie Land Electric Cooperative, Norton, Victory Electric Cooperative Association, Dodge City, Western Cooperative Electric Association, WaKeeney, and Wheatland Electric Cooperative, Scott City, Kansas.
About TradeWind-
TradeWind Energy, LLC was founded in 2001 and is a leading developer of wind energy in Kansas and surrounding Midwestern states with a wind project pipeline of over 1000 MWs. TradeWind's management team has a strong combination of independent power producer industry experience and a physical presence in, and focus on, Midwest wind energy markets. Together, the team members have over 40 years of combined experience with different power project technologies, including wind, gas, coal, hydro, and biomass.
Visit the TradeWind Energy website at: http://www.tradewindenergy.com/