The development, slated for construction in 2010, is expected to become Maryland’s first wind energy project.
Under the terms of the agreement, Constellation will purchase 28 Clipper 2.5 MW Liberty wind turbines and the 70 megawatt (MW) Criterion Project. Clipper will provide operation and maintenance services under a long-term agreement, and 24/7 operation oversight through Clipper’s Remote Maintenance and Diagnostic Center located at its Cedar Rapids, Iowa manufacturing facility. The agreement, signed today, and subject to completion of certain closing conditions, is expected to close in the first quarter of 2010. The construction of the project is expected to commence in Spring 2010, with completion anticipated in the Fall.
“We applaud Constellation Energy’s leadership in entering the wind energy sector through the purchase of this project and Clipper Liberty wind turbines,” said Doug Pertz, President and CEO of Clipper Windpower. “Criterion will be a state-of-the-art project — one the State of Maryland and Constellation Energy can certainly be very proud of."
The Criterion site is located on Backbone Mountain in Garrett County, Maryland, to the east of the county seat of Oakland. Initiated in 2001, the proposed project has undergone studies and extensive review by the state, local agencies and the local public. Criterion supports Maryland’s Renewable Portfolio Standard (RPS) which encourages new wind energy projects within the State of Maryland.
Constellation Energy (www.constellation.com) is a leading supplier of energy products and services to wholesale and retail electric and natural gas customers. It owns a diversified fleet of generating units located in the United States and Canada, totaling approximately 7,100 megawatts of generating capacity, and is among the leaders pursuing the development of new nuclear plants in the United States. The company delivers electricity and natural gas through the Baltimore Gas and Electric Company (BGE), its regulated utility in Central Maryland. A FORTUNE 500 company headquartered in Baltimore, Constellation Energy had revenues of $19.8 billion in 2008.
Clipper Windpower Plc, www.clipperwind.com, is a company engaged in wind energy technology, turbine manufacturing, and wind project development. The Company designs advanced wind turbines, manufactures its 2.5 MW Liberty wind turbine, and actively develops wind power generating projects in the Americas and Europe. Clipper’s primary offices are in the United Kingdom and in California, USA. The Company’s 330,000 square foot manufacturing and assembly facility, located in Cedar Rapids, Iowa, is ISO9001:2000 QMS Certified. Clipper is a public company listed on AIM of the London Stock Exchange. Clipper’s ticker symbol is CWP.
The ordinary shares of Clipper Windpower Plc are traded on AIM of the London Stock Exchange and are not registered under the U.S. Securities Act of 1933, as amended. Such shares may not be offered or sold to residents of the United States or to persons acting on their behalf, or to other persons who are "United States Persons" within the meaning of Regulation S as promulgated under the Securities Act of 1933, unless such shares have been registered under the Securities Act or there is an available exemption from registration.
Constellation Energy Signs Agreement to Acquire Western Maryland Wind Project
Constellation Energy (NYSE:CEG) announced it has signed an agreement with Clipper Windpower, Inc to acquire the Criterion wind project in Garrett County, Md The $140 million, 70-megawatt wind energy project would be developed, constructed, owned and operated by Constellation Energy This new renewable energy resource would provide enough sustainable electricity to meet the annual equivalent usage of an estimated 23,000 households.
Constellation Energy (NYSE:CEG) announced it has signed an agreement with Clipper Windpower, Inc. to acquire the Criterion wind project in Garrett County, Md. The $140 million, 70-megawatt wind energy project would be developed, constructed, owned and operated by Constellation Energy. This new renewable energy resource would provide enough sustainable electricity to meet the annual equivalent usage of an estimated 23,000 households. It is one of several clean energy initiatives Constellation Energy has recently completed or proposed across Maryland.
Under terms of the agreement, Constellation Energy will purchase from Clipper Windpower the Criterion project and 28 of Clipper’s 2.5-megawatt Liberty wind turbines. The Criterion project has received the necessary state approvals. Criterion’s 2008 state application was the first to win approval under a 2007 state law promoting wind development in Maryland.
Constellation Energy remains committed to pursuing clean, green energy generation and conservation projects in Maryland, said Mayo A. Shattuck III, chairman, president and chief executive officer, Constellation Energy. These projects have the potential to produce high-paying construction jobs while increasing and diversifying energy supply in the state of Maryland. The Criterion project is an ideal example of the kind of innovative and sustainable energy project that can help Maryland meet its ambitious renewable energy objectives.
The Constellation Energy-Clipper Windpower agreement, which is subject to certain terms and conditions, is expected to close in the first quarter of 2010. Commercial operation of the wind energy facility is anticipated in the fall of 2010.
The Criterion project has entered into a 20-year power purchase agreement with the Old Dominion Electric Cooperative for energy and renewable energy credits produced by the wind facility. Old Dominion is a not-for-profit wholesale power provider serving public electric cooperatives in Maryland, Delaware and Virginia.
The proposed Western Maryland wind project is one of several renewable energy initiatives Constellation Energy has developed or is pursuing on behalf of public and private sector customers in the state. Within the last year, Constellation Energy completed one of the largest photovoltaic systems in Maryland – a nearly 1-megawatt solar project for McCormick & Company – and constructed a 300-kilowatt solar system for the Maryland Environmental Service, the first of its kind for a Maryland state agency.
