Direct Energy purchasing 200 MW from wind farm

Not to be outdone by yesterday's wind power purchase by FirstEnergy, Houston-based Direct Energy is buying 200MW of power from a wind farm in Texas.

Today, Direct Energy announced a 15-year power purchase agreement with Horizon Wind Energy's Lone Star Wind Farm. Horizon is a subsidiary of Goldman Sachs Group, Inc.

Direct Energy will purchase all energy output and Renewable Energy Credits (RECs) from the 200 MW project located 15 miles northeast of Abilene, Texas. The wind farm is scheduled to be complete and operational in the spring of 2007.

The agreement represents Direct Energy's fourth wind power contract in Texas, making the company one of the largest renewable energy suppliers in the state.

Direct Energy sources its energy requirements in Texas from a balanced portfolio of its own generation, contracts and traded market purchases. Direct Energy's current portfolio includes three advanced gas turbine/combined cycle power plants including Bastrop Energy Center near Austin, Texas, Frontera Energy Center, in Mission, Texas and Paris Energy Center, in Paris, Texas; in addition to the Buffalo Gap Wind Farm 1 and 2 and Sand Bluff Wind Farm power purchase agreements - all located in West Texas.

Horizon Wind Energy develops, constructs, owns, and operates wind farms throughout the United States. Horizon-developed wind farms operate in New York, Iowa, Pennsylvania, and Oklahoma, and the company has projects under construction in Washington, Texas and Illinois. Horizon expects to have 1350 MW of wind projects in operation by the end of 2007.