Maxim Power Corp.
TSX : MXG

Maxim Power Corp.

April 17, 2008 17:29 ET

Maxim Power Corp. Announces the Closing of the Forked River Power Plant Acquisition

CALGARY, ALBERTA--(Marketwire - April 17, 2008) - Maxim Power Corp. (TSX:MXG) ("MAXIM") announced today that it has closed the purchase of the 86 megawatt ("MW") Forked River Power Plant located in Ocean County, New Jersey. The plant was acquired from Jersey Central Power and Light Company ("JCP&L") for US$20.0 million and was financed with cash on hand. In conjunction with this purchase a ten year tolling agreement has been entered into with FirstEnergy Solutions Corp., a subsidiary of FirstEnergy Corp. and an affiliate of JCP&L, for the entire capacity of the plant.

The Forked River power plant is a strategic addition to MAXIM's growing base of generating capacity in the northeast United States. The Forked River project is located in New Jersey and includes 30 acres of land and existing infrastructure to support future development of additional generating capacity on site. MAXIM now owns 213 MW of generating capacity in this region and will own 383 MW upon closing the previously announced Pittsfield Power Plant acquisition. These acquisitions provide scale and diversity in MAXIM's generating portfolio. Furthermore, MAXIM expects operational synergies across the plants given the common technology platform and operator. These plants include seven GE Frame 6 combustion turbines and all are operated by PurEnergy LLC.

About MAXIM

Based in Calgary, Alberta, MAXIM is an Independent Power Producer, which acquires or develops, owns and operates innovative and environmentally responsible power projects. MAXIM now owns and operates 34 power plants in Western Canada, United States and France, having 585 MW of electric and 132 MW of thermal generating capacity. Upon closing the acquisition of the Pittsfield Power Plant, MAXIM will own 35 power plants having 755 MW of electric and 132 MW of thermal generating capacity. MAXIM will continue to execute on its strategy as an Independent Power Producer and is targeting significant growth through acquisitions and development of power projects which utilize hydrocarbon based fuels and renewables in the markets of Western Canada, United States and France. MAXIM trades on the TSX under the symbol "MXG". For more information about MAXIM, visit our website at www.maximpowercorp.com.

Statements in this release which describe MAXIM's intentions, expectations or predictions, or which relate to matters that are not historical facts are forward-looking statements. These forward-looking statements involve known and unknown risks and uncertainties which may cause the actual results, performances or achievements of MAXIM to be materially different from any future results, performances or achievements expressed in or implied by such forward-looking statements. MAXIM may update or revise any forward-looking statements, whether as a result of new information, future events or changing market and business conditions and will update such forward looking statements as required pursuant to applicable securities laws.

The TSX has not reviewed and does not accept responsibility for the adequacy or accuracy of this press release.

Contact Information

  • Maxim Power Corp.
    John R. Bobenic
    President and CEO
    (403) 750-9300
    or
    Maxim Power Corp.
    Mike Mayder
    Vice President, Finance and CFO
    (403) 750-9311
    Website: www.maximpowercorp.com