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ADAGE, Energy Northwest to Pursue Development of New Biomass Plants

Press release


February 19, 2009

OLYMPIA, Wash., Feb. 18, 2009 – ADAGE and Energy Northwest signed today a preliminary agreement to develop wood waste biomass power plants in the states of Washington, Idaho, Montana and Oregon. According to the agreement, the companies plan to jointly market clean wood biopower (biomass to electricity) to the 24 member utilities that comprise Energy Northwest, and to other regional utilities, with the goal of constructing and operating one or more 50 megawatt (MW) power generation plants in these states.

ADAGE is a joint venture between AREVA and Duke Energy created to provide clean, biopower energy solutions to U.S. electricity customers.  Within the joint venture, AREVA will construct the biomass power plants, and Duke Energy Generation Services, a Duke Energy business unit that owns and develops renewable energy, will operate the facilities.

"We view this partnership with Energy Northwest as an important step toward realizing clean wood biopower facilities in the Pacific Northwest. This region has great potential for biopower because of the climate and geography as well as demand for green power. We look forward to working with local communities, companies and others to explore possible development locations," said Reed Wills, president of ADAGE.

State and federal environmental agencies agree that biopower is carbon neutral since burning wood for generation emits carbon that is recycled through photosynthesis from growing trees. Biopower facilities also will have significant impacts on local economies and will create hundreds of new, green-collar jobs. The use of biomass as fuel for power generation utilizes abundant renewable domestic resources and reduces our dependence on imported fuels. Removing this residual wood waste from our forest floors will reduce fire hazards and improve the forests long-term sustainability.

"Our entry into the wood biopower field is a natural extension of Energy Northwest’s long history of environmentally responsible power generation using hydro, wind, solar and nuclear technologies. We are pleased to be able to offer this essentially carbon-neutral generating option to our member utilities throughout Washington and to other interested utilities," said Vic Parrish, CEO of Energy Northwest.

Biopower plants can operate 24/7, an important advantage over other renewables that are intermittent in nature. As states and localities look to produce a much larger percentage of their electricity from renewable sources, biopower will play a significant role.

"As we provide solutions for environmentally friendly power generation and distribution, AREVA remains committed to renewables, having designed and built more than 100 biopower facilities around the world. ADAGE’s clean, innovative facilities balance our respect for the environment by producing green power with practical concerns such as job creation and investment in local communities," said Jacques Besnainou, President of AREVA Inc.

The U.S. Energy Information Administration sees great potential in wood biomass power generation, projecting that the current installed capacity of 6,000 MW will double over the next decade.

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As the leading U.S. nuclear vendor and a key player in the electricity transmission and distribution sector, AREVA Inc.’s 5,300 U.S. energy employees are committed to serving the nation and paving the way for the future of the electricity market. With 45 locations across the nation and nearly $2 billion in energy revenues in 2007, AREVA Inc., through its subsidiaries, combines U.S. leadership, access to worldwide expertise and a proven track record of performance.

In the U.S. and in more than 100 countries around the world, AREVA is engaged in the 21st century’s greatest challenges: making energy available to all, protecting the planet, and acting responsibly toward future generations. AREVA Inc. is headquartered in Bethesda, Maryland. Visit us at:
Duke Energy
Duke Energy, one of the largest electric power companies in the United States, supplies and delivers electricity to approximately 4 million U.S. customers in its regulated jurisdictions. The company has approximately 35,000 megawatts of electric generating capacity in the Midwest and the Carolinas, and natural gas distribution services in Ohio and Kentucky. In addition, Duke Energy has more than 4,000 megawatts of electric generation in Latin America, and is a joint-venture partner in a U.S. real estate company.

Headquartered in Charlotte, N.C., Duke Energy is a Fortune 500 company traded on the New York Stock Exchange under the symbol DUK. More information about the company is available on the Internet at: