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Wind Project Overcomes Industry’s Current Economic Hurdles – Project brings economic boost to Washington; renewable power to California

SAN DIEGO, CA – Despite financial challenges facing the renewable energy industry, wind and solar pioneers Cannon Power Group announced today that the 136.6 MW Phase I of its wind project in Klickitat County, Washington is on schedule and due for completion the first quarter of 2009.

Expected to be fully completed in 2010, the Windy Point project will be one of the largest wind projects in the United States generating 500 MW of renewable energy – enough to power approximately 200,000 homes.

“We are very pleased with the progress of the construction of the Windy Point project,” said Gerry Monkhouse, chairman of San Diego-based Cannon Power Group. “This has long been one of the premier wind sites in the Pacific Northwest and is the culmination of over five years of know-how and hard work by our development and construction teams in coordination with the local community.”

California will benefit from the Windy Point project which could help California meet its renewable energy goals since a northern California off-taker is expected to purchase 136.6 MW of power from Phase I, with additional commitments expected.

Phase I has involved completing an eight and a half-mile on-site transmission line, over 20 miles of on-site roads, and two project substations. Cannon also has begun erecting Phase 1 turbines, most of which should be up by the end of December 2008, if the weather cooperates.

Monkhouse projected that the project’s first phase and continued construction alone will inject many millions of dollars into the local economy by providing more than 20 direct jobs, 27 local subcontractors and an additional 23 local vendors.

“Our construction team has done a superb job which we expect will not only continue but substantially accelerate as we go forward with all our phases,” added Monkhouse. “Cannon has a long-time commitment to using as many local resources as possible when we build our projects. We believe it is very important to keep as much of the investment in the local community as we can.”

Cannon recently entered into an arrangement to make significant project layout changes to ensure none of its Windy Point Phase II turbines could be viewed from the Columbia Scenic Gorge Area. Further, Cannon has committed to fund one of the largest habitat conservation programs in the Pacific Northwest. This program will provide over $1 million for the preservation of sensitive wildlife habitat.

Phase I of the three-phase project will consist of 42 Siemens 2.3 MW turbines and 20 RE power 2.0 MW turbines. Cannon also has ordered additional turbines from Siemens for delivery in 2009 to continue the build-out of Windy Point project. Cannon Power Construction Company is acting as construction contractor.

For over 26 years, San Diego-based Cannon Power Group has developed, constructed, operated, and maintained more than 30 utility-scale wind energy projects in the U.S., India, Switzerland, Spain, Italy, Turkey, Greece and Croatia. In 2007, Cannon established its solar project division, Cannon Solar Partners, LLC. In addition to Windy Point, Cannon’s current projects include the Aubanel wind and solar project in Baja California, Mexico and the Lucerne Valley solar project in San Bernardino County.