Sierra Pacific Resources and RES Americas in Talks to Co-Develop Wind Energy Project

Business Wire, Nov 15, 2007

LAS VEGAS -- Sierra Pacific Resources (NYSE:SRP) and Renewable Energy Systems Americas Inc. (RES) announced today that they are in discussions toward an agreement to jointly develop and operate a large wind-energy project, known as the China Mountain Project, proposed in northeastern Nevada and southern Idaho.

Located at the Nevada/Idaho border on a combination of federal, state and private lands, the proposed China Mountain project is expected to generate more than 200 megawatts (MW) of electricity. This agreement would be subject to approval by the PUCN.

"The area where this project would be located provides the combination of a good wind resource and the relatively gentle terrain needed for construction access," said Tom Fair, Sierra Pacific Resources executive, Renewable Energy Program. "Preliminary wind resource analyses completed to date have found this site to be favorable for developing a utility scale wind-energy facility. RES is a very experienced wind development and construction company, with an excellent track record, including working closely with federal, state and local agencies, as well as utility companies investing in wind energy."

Scott Piscitello, RES Director of Development, added, "RES is excited at the prospect of working with Sierra Pacific Resources to complete development of the China Mountain Project. The combined efforts of our two companies will enable the earlier development and construction of a cost-effective wind energy project that is sensitive to the environment and that brings significant economic benefits to the surrounding communities."

The project will go through a rigorous environmental review process as required under the National Environmental Policy Act. An official notice for preparation of an Environmental Impact Statement is expected early in 2008.

The project will use state-of-the-art large-scale wind turbines to produce electricity to deliver energy to Sierra Pacific Resources' power grid.

"Expanding our renewable energy initiatives by adding wind energy to our growing portfolio of geothermal and solar energy resources is a key part of our strategy of providing clean, safe, reliable electricity to our customers at reasonable and predictable prices," said Michael Yackira, Sierra Pacific Resources chief executive officer. "Working with RES, we plan to expand the leadership position our company already has in renewable energy nationwide."

In addition to ongoing efforts such as this one where SPR identifies and targets renewable investment opportunities, the Company issued an RFP in early October to solicit proposals for long-term contracts from renewable energy project developers.

ABOUT SIERRA PACIFIC RESOURCES - Headquartered in Nevada, Sierra Pacific Resources is a holding company whose principal subsidiaries are Nevada Power Company, the electric utility for most of southern Nevada, and Sierra Pacific Power Company, the electric utility for most of northern Nevada and the Lake Tahoe area of California. Sierra Pacific Power Company also distributes natural gas in the Reno-Sparks area of northern Nevada.

ABOUT RES-AMERICAS - RES Americas (www.res-americas.com) is one of the fastest growing wind development and construction companies in North America. The Company is part of the RES Group of Companies which are active across four continents, and is part of the United Kingdom (UK)-based Sir Robert McAlpine Group, a global construction, design and engineering company. RES-Americas has been active in the US market since 1997 and has had a role in developing or constructing more than 10% of the operating wind projects in the United States and greater than 20% of the installed wind capacity in the state of Texas. RES-Americas' corporate office is located in Austin, Texas, and regional offices are located in Portland, OR, Minneapolis, MN, and Montreal, Quebec, Canada. RES-Americas continues to seek new locations for wind projects as well as opportunities to participate in other forms of renewable energy. On the web at www.res-americas.com.