Friday, July 14, 2006

BP, Clipper Windpower enter U.S. wind energy deal

BP, Clipper Windpower enter U.S. wind energy deal
Fri Jul 14, 2006 11:22am ET

LONDON, July 14 (Reuters) - California-based wind-power company Clipper Windpower (CWP.L: Quote, Profile, Research) and oil giant BP Plc (BP.L: Quote, Profile, Research) said they have entered a five-year supply and development agreement involving five wind energy projects in the United States.

The news boosted shares in Clipper Windpower by 23 percent to 335 pence shortly before the close of trading in London.

The projects, with an anticipated total generating capacity of 2,015 megawatts, are in New York, Texas, and South Dakota.

BP has secured a mix of firm and contingent orders of up to 2,250 megawatts of additional Clipper turbines in its global wind portfolio, the companies said in a statement on Friday.

"This strategic alliance provides both Clipper and BP an unparalleled opportunity to capture a major foothold in the U.S. wind energy market," said Clipper Windpower Chief Executive James Dehlsen.

"With active negotiations for other turbine and portfolio sales currently taking place, it is possible that further contracts will be announced before the Clipper EGM and at that stage an update will be given on our business plan," he added.