FERGUS FALLS, Minn., April 30, 2008 (PRIME NEWSWIRE) -- Otter Tail Power Company, a division of Otter Tail Corporation (Nasdaq:OTTR), announced today that it has entered into agreements to build and own 48 megawatts of wind energy generation at a wind energy facility planned in Barnes County, North Dakota.
The 48-megawatt project would be part of a projected 200-megawatt facility operated by FPL Energy LLC, an affiliate of FPL Group (NYSE:FPL). Known as the Ashtabula Wind Center, it would be the largest wind energy farm in North Dakota to date and is scheduled to be operational by the end of 2008.
Otter Tail Power Company expects to invest more than $121 million on this project, which includes the cost of wind energy turbines, site construction, and required transmission construction. "In terms of dollars, this is the largest project we've undertaken in over 25 years," said Otter Tail Power Company President Chuck MacFarlane. Once built, this project would increase the amount of wind-generated electricity owned or purchased by the company to 130 megawatts, enough to power more than 38,000 homes.
MacFarlane added, "While the Public Service Commission has to approve project applications and we need to finalize other permits, easements, and construction contracts before actual construction begins, we're confident that this project will allow us to provide our customers with additional cost-effective wind-generated electricity."
Otter Tail Corporation's Executive Vice President and COO Lauris Molbert said, "We are proud of Otter Tail Power Company's commitment to renewable energy and diversified sources of electric generation. With this investment, Otter Tail Power will own more wind energy generation than any other electric utility serving the Dakotas and Minnesota."
Molbert noted, "A project of this size requires coordinated effort by many stakeholders. In particular, we appreciate the cooperation and assistance of the many local and state government offices and agencies in helping this major wind center become a reality."
Otter Tail Power Company, a division of Otter Tail Corporation, is headquartered in Fergus Falls, Minnesota. The company provides low-cost electricity through conservation and a balanced mix of energy resources including baseload coal plants, natural gas, and renewable wind energy to nearly a quarter million people in Minnesota, North Dakota, and South Dakota. To learn more about Otter Tail Power Company, visit its web site at www.otpco.com.
Otter Tail Corporation has interests in diversified operations that include an electric utility, manufacturing, health services, food ingredient processing and infrastructure businesses which include plastics, construction and transportation. Otter Tail Corporation stock trades on the NASDAQ Global Select Market under the symbol OTTR. The latest investor and corporate information is available at www.ottertail.com. Corporate offices are located in Fergus Falls, Minnesota, and Fargo, North Dakota.
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Forward-looking Statements
Except for historical information, all other information provided in this release consists of "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. These "forward-looking statements" are subject to risks and uncertainties which could cause actual results to differ materially from those projected, anticipated, or implied. The most significant of these risks and uncertainties are discussed or identified in Otter Tail Corporation's public filings made with the Securities and Exchange Commission. Otter Tail Corporation undertakes no obligation to publicly update or revise any forward-looking statements.