Tallmadge Power Project Delays Until Spring 2003

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Researched by Industrialinfo.com (Industrial Information Resources Incorporated; Houston, Texas). Panda Energy International (Dallas, Texas), a privately held non-regulated electric generation company, had joined with Alliant Energy Resources, the non-utility subsidiary of Alliant Energy (NYSE: LNT) (Madison, Wisconsin), to construct and operate a combined-cycle plant in Western Michigan. The Tallmadge Power Project was scheduled to begin its 2-year construction in the first quarter of 2002; however, due to market conditions for electrical power the project has been delayed and Panda Energy won't be selecting its contractors until the first quarter of 2003.

The Tallmadge Power Project, which has a total capacity of 1,100 megawatts (MW), will include four (4) 170-megawatt General Electric Combustion Turbines, with four (4) Heat Recovery Steam Generators (HRSG), and two (2) 210-megawatt General Electric Steam Turbines. The estimated cost for the project is $600 million.

The plant will be burning clean natural gas and will be using combined-cycle technology. This technology uses less fuel than traditional power plants and results in lower costs, reduced air emissions, and greater energy efficiency. Full operation is expected in early 2005.

Under the joint venture, Panda will continue to provide development services, and Alliant Energy Resources will maintain and operate the plant. Power from the plant will be sold throughout the East Central Area Releability (ECAR) region.