Run of River Power Inc.

Run of River Power Inc.

April 10, 2006 08:00 ET

Run of River Submits 9.9 MW Raffuse Creek Project to BC Hydro's 2006 Open Call for Power, Annual Revenue Potential in Excess of $2.8 Million

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - April 10, 2006) -


Run of River Power Inc (TSX VENTURE:ROR) is pleased to announce that it has submitted its Raffuse Creek hydroelectric project to BC Hydro's 2006 Open Call for Power, April 7, 2006. When developed, this "run of river" project will deliver approximately 35,000 Megawatt hours of electricity to B.C.'s power grid which would provide electricity to approximately 3,500 homes annually.

Following the successful award of an Energy Purchase Agreement expected in August of this year, ROR anticipates construction to commence in the first quarter, 2007. Based on recent energy purchase agreements offered by BC Hydro, the plant would generate in excess of $2.8 million in annual energy sales with an estimated cost to build of $21 Million. Jako Krushnisky, Run of River's President stated that "The project could be completed as early as Spring, 2008 and would more than double our current cash flow".

BC Hydro currently imports approximately 15% of its current annual electricity needs from ever increasingly volatile spot-trading markets. According to BC Hydro's CEO, Bob Elton, "BC could be importing as much as 45% of its electricity from spot-trading markets". According to BC Hydro's recently released Integrated Energy Plan, a key to energy independence is through the purchase of more power from independent power producers.

Mr. Krushnisky, further stated that "The Raffuse Creek project represents the first step in our plan to develop the Corporation's water project properties in the Mamquam watershed and nearby Pitt River Watershed". When fully developed these properties represent over 150 MW of installed capacity, which will satisfy the needs of approximately 90,000 homes annually.

About Run of River Power

Run of River power operates a hydroelectric power generation project at Brandywine Creek near Whistler BC and sells the power to BC Hydro on a long term 20 year contract. The Corporation proposes to develop additional hydroelectric projects on streams and rivers located in high value areas of British Columbia as well to seek out and acquire other alternative energy projects. The Raffuse Creek development is one further step in the Company's long term development plan which commenced with a successful $8.8 million financing in June, 2005.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this Release.

Contact Information

  • Run of River Power Inc.
    R.G. ("Jako") Krushnisky
    (604) 946-9232
    Run of River Power Inc.
    David Speck
    Investor Relations
    (416) 368-8464