Dominion News Releases

April 26, 2001

Dominion Joins The ERORA Group in Proposed Michigan Power Project in Gratiot County

This is the second development announced by Dominion in Michigan.

Teed Wafle, Dominion's senior business development manager, said:

“Our participation in the development of this project represents a critical step forward in our company’s plans to become a major energy provider in the Midwest, Northeast and Mid-Atlantic regions of the U.S., home to 40 percent of the nation’s demand for energy. Michigan’s growing need for energy contributes substantially to that demand. We’re delighted to have the opportunity to help meet the state and regional electric needs.

“This project has been sited, and will be designed and developed, in a manner that provides strong economic benefits to the local community and preserves the environmental integrity of the area. The next step in the development process is to begin the electric interconnection study and to continue our feasibility analysis. At this point we are excited about the prospects and are very pleased with the support that has been shown by township and county officials. That support gives us great confidence that this project will proceed as planned.”

“We are very excited that we were able to attract a company like Dominion with the resources and integrity to construct and operate this facility” said Michael McInnis, a member of ERORA. “We believe that Dominion’s involvement will help realize our goal of developing an environmentally sound facility that will be owned and operated by a world-class company with an outstanding reputation for community involvement.”

Don Schurr, president, Greater Gratiot Development Inc., said, “It seems this past year, the time spent in feasibility analysis and potential site examination has flown by. It has been such a pleasure working with ERORA. ERORA understands and appreciates Gratiot County's partnership and collaborative development style. I was pleased to learn that Dominion decided to take on this project. Dominion is a significant player in the evolving electrical markets. And, after my initial meeting with Dominion representatives, I am confident that the project will be a successful venture for everybody.”

Dan Skiver, Gratiot County administrator, said, “We are very pleased and excited to have had the opportunity to work with ERORA on the initiation of the project. Now that we know Dominion will be the equity partner, we are eager to help make this project a reality.”

Dominion, headquartered in Richmond, Va., is one of the nation's largest producers of energy, with a production capability of 2.7 trillion British Thermal Units of energy per day. The company has a power generation portfolio of more than 21,000 megawatts, which is expected to grow to approximately 28,000 megawatts by 2005. Dominion is one of the largest independent oil and natural gas exploration and production companies in North America, with 2.8 trillion cubic feet of equivalent reserves. Dominion also serves nearly 4 million retail natural gas and electric customers. For more information about Dominion, visit the company's Web site at www.dom.com.

The ERORA Group, with offices in Louisville, Kentucky, and Fairfax, Virginia, was established in 1999 as a privately owned developer of merchant energy and cogeneration projects. ERORA develops independent energy facilities and then raises the equity investment required to construct and own those facilities. The company prides itself on developing plants that are environmentally sound additions to the communities in which they are located. ERORA is currently developing in excess of 3,500 megawatts of new generation capacity in the eastern United States. During the past two years, ERORA has completed development and raised equity for seven generating plants totaling 3,400 megawatts. Additional information on ERORA can be found at www.erora.com.

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