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CEC Announces Approval Of Intergen's Wildflower Project

Sacramento, CA - April 4, 2001 The California Energy Commission (CEC) today announced approval of InterGen's Wildflower Energy Project - two natural gas-fired generating plants that together will produce 225 megawatts of power for the California market by July of 2001. The 90-megawatt Larkspur Energy Facility will be located in the San Diego area and the 135-megawatt Indigo Energy Facility will be located in Palm Springs. InterGen is a venture of Bechtel and Shell.

The Wildflower Energy Project "peaker" plants are the first facilities to be licensed under the CEC's emergency siting process instituted upon Governor Gray Davis' Executive Order to expedite the licensing of electricity plants that can be on line by September 30, 2001.

"We are extremely pleased with the CEC's commitment to the emergency process. Despite the short timeframe, there were no short-cuts in terms of public and environmental considerations," said John Jones, Wildflower Project Manager for InterGen. "The CEC decision comes after hearings in Palm Springs and San Diego where questions from the public and Commissioners were addressed. InterGen prides itself on its reputation as a developer of energy projects that incorporate the highest levels of environmental stewardship and commitment to local communities. These projects will absolutely uphold our tradition."

InterGen will build the Larkspur Energy facility in an industrial zone within the City of San Diego. The Indigo Facility will be built in an energy producing area dominated by wind turbines in northern Palm Springs. Both sites were chosen based on proximity and access to natural gas and connections to transmission lines on the state's power grid. The gas supply and power sale for the facilities will be managed through InterGen's affiliate, Coral Power.

"These will be the first InterGen facilities in California, and with the CEC's approval, we can get started on construction immediately," said Steve Weyel, President of InterGen North America. "A quarter of a million homes will be served by these plants and we want them to be on line as soon as possible. We're glad to help respond to the state's urgent electricity needs," added Weyel.

InterGen is a global power generation firm. Across the United States, InterGen is currently working on a number of proposed generating facilities, building on a solid foundation of successful projects in nine other countries worldwide. InterGen is a Shell-Bechtel venture.