Southern Cross Transmission Project Reaches Significant FERC Application Milestones

SAN FRANCISCO, Sept. 6, 2011 /PRNewswire/ -- Pattern Energy Group LP (Pattern) today announced it has reached important milestones in the development of its Southern Cross transmission project by reaching a significant agreement with several existing Texas utilities and making two key applications with the Federal Energy Regulatory Commission (FERC).

"Pattern is making steady progress on the development of its Southern Cross project, which will allow Texas to share its abundant economically feasible wind energy resources with its neighbor states to the southeast," said Mike Garland, CEO of Pattern Energy.  "The Southern Cross project will create new jobs, generate investment and economic development in Texas, Louisiana and Mississippi, and provide the southeast with the opportunity to access low cost renewable energy from Texas."

Pattern, through its affiliate Southern Cross Transmission LLC, has completed negotiation of a Settlement Agreement with Oncor Electric Delivery Company LLC (Oncor), CenterPoint Energy Houston Electric LLC (CenterPoint), and the City of Garland, Texas and its municipal-owned electric utility Garland Power & Light (Garland), regarding the terms and conditions for the interconnection of the project with ERCOT and the provision of transmission service into and out of ERCOT from the project, contingent upon the receipt of necessary regulatory approvals from FERC.

This Settlement Agreement is part of an application Pattern filed today at FERC requesting an order from the Commission directing Garland to interconnect the project with ERCOT and directing Oncor and CenterPoint to provide transmission service into and out of ERCOT. The order will also contain a clear disclaimer of jurisdiction by the Commission, ensuring the continued status quo of all transmission providers and entities within ERCOT as generally exempt from FERC regulation. In addition, Pattern filed a separate application at FERC requesting authority to sell transmission service on Southern Cross at negotiated rates with interested shippers.  This rate application details the proposed provisions for subscribing anchor tenants and holding an open season as a participant funded transmission project.

Mayor Ronald E. Jones of the City of Garland said, "This project will allow Texas to share its abundant wind energy resources with neighboring states in the southeast in a manner that results in increased reliability of the energy grid within Texas. The City's participation in the project will provide an economic benefit to the ratepayers of Garland while furthering Garland's commitment to renewable energy."  

Pattern is developing the Southern Cross project to add a High Voltage Direct Current (HVDC) transmission tie of up to 3,000 MW between ERCOT in Texas and the transmission grid deep in the southeastern United States by 2016. This project is expected to facilitate the further development of additional Texas wind projects by creating access to new markets. The Southern Cross project will allow Texas to expand its traditional role as an energy supplier, adding wind energy to its portfolio of major exports.

A leader in wind energy and transmission, Pattern also has extensive experience in developing innovative solutions to complex transmission problems. Pattern's team of transmission experts has developed other transmission projects, including the Trans Bay Cable project under San Francisco Bay.  The Trans Bay Cable project is a groundbreaking submarine transmission line that was completed in 2010 and is presently serving up to 40% of San Francisco's and the northern peninsula's energy needs.

About Pattern

Pattern Energy Group LP is an independent, fully integrated energy company that develops, constructs, owns, and operates renewable energy and transmission assets in the United States, Canada and Latin America.  With a long history in wind energy, Pattern's highly-experienced team of scientists, engineers, construction experts, and legal and financial professionals has developed, financed and placed into operation more than 2,500 MW of wind power projects. Pattern is strongly committed to promoting environmental stewardship and is dedicated to working closely with landowners and communities to create premier renewable energy projects. Currently operating 520 MW of wind energy in North America, Pattern is scheduled to start construction on new projects totaling more than 1,000 MW over the next 12 months. The Company's full development pipeline exceeds 4,000 MW of renewable energy and transmission projects.  Pattern has offices in San Francisco, San Diego, Houston, New York, and Toronto. For more information, please visit www.patternenergy.com.

Contact:

Matt Dallas
Pattern Energy
917-363-1333
[email protected]

SOURCE Pattern Energy Group LP