Genesee Carbon Capture & Storage project short-listed to negotiate for support from Government of Alberta CCS fund

    /NOT FOR DISSEMINATION IN THE UNITED STATES OR TO US NEWSWIRES/

    EDMONTON, July 3 /CNW/ - The Government of Alberta announced on June 30,
2009 that the EPCOR/Enbridge proposal for an integrated gasification
combined-cycle (IGCC) carbon capture power generation facility at Genesee is
one of three projects selected for the negotiation of letters of intent under
the province's $2 billion program for large-scale carbon capture and storage
(CCS) projects.
    "We are delighted to have been selected to negotiate a letter of intent
for the Genesee IGCC CCS project," said EPCOR President & CEO Don Lowry. "The
Government of Alberta has shown leadership in committing to commercial-scale
carbon capture and sequestration. Now it's up to industry to step forward with
breakthrough technologies. We believe our proposal is one of those
breakthroughs, and we're looking forward to seeing it pursued by the new
Capital Power Corporation."
    "We're ready to work with our project partners, the Province, and the
Genesee community to take CCS technology from opportunity to operation," added
incoming Capital Power President & CEO Brian Vaasjo. "The plant we're
proposing would help establish Alberta as a global leader in clean energy. CCS
is a bridge to the future for the power industry, and Capital Power is
committed to being a part of that future."
    "We believe that CCS will prove to be an important technology in reducing
carbon dioxide emissions," said Patrick D. Daniel, Enbridge President & CEO.
"Through the role that Enbridge and the Alberta Saline Aquifer Project (ASAP)
will be playing in the Genesee IGCC CCS project, we'll have the opportunity to
thoroughly test the technology for safety and effectiveness, and to share it
with others in our industry."
    The Genesee IGCC CCS project would be North America's first project
combining an IGCC commercial-scale near-zero-emission thermal power plant with
carbon capture, compression and storage. It has the potential to capture more
than 3,300 tonnes per day or 1.2 million tonnes of carbon dioxide emissions a
year.
    Enbridge would be responsible for transporting captured CO2 from the
Genesee site for use in enhanced oil recovery or permanent storage in deep
saline aquifers, and ASAP would be responsible for saline aquifer
sequestration.
    In its announcement, the Province of Alberta indicated it would work to
have letters of intent signed by the end of July 2009. The Province of Alberta
has budgeted up to $100 million in the current fiscal year for engineering and
design work on the successful projects.
    On May 8, 2009, EPCOR announced its plans to create Capital Power
Corporation (Capital Power) to acquire EPCOR's power generation assets.
EPCOR's interest in the Genesee IGCC CCS project will be sold to Capital Power
as part of that transaction, which is expected to close July 9, 2009.
    Construction of the project will be subject to conditions such as
regulatory approvals, economic and engineering assessments, and successful
negotiation of an agreement with the Province of Alberta. There can be no
assurances that the project proponents will be successful in negotiating a
letter of intent for this project.
    This communication does not constitute an offer of securities for sale in
the United States, and the securities referred to in this communication may
not be offered or sold in the United States absent registration or any
exemption from registration.

    About EPCOR

    EPCOR's wholly owned subsidiaries build, own and operate power plants,
electrical transmission and distribution networks, water and wastewater
treatment facilities and infrastructure in Canada and the United States.
EPCOR, headquartered in Edmonton, Alberta, has been named one of Canada's Top
100 employers for nine consecutive years, and was selected one of Canada's 10
Most Earth-Friendly Employers.

    About Enbridge

    Enbridge Inc., a Canadian company, is a leader in energy transportation
and distribution in North America and internationally. As a transporter of
energy, Enbridge operates, in Canada and the U.S., the world's longest crude
oil and liquids transportation system. The Company also has a growing
involvement in the natural gas transmission and midstream businesses. As a
distributor of energy, Enbridge owns and operates Canada's largest natural gas
distribution company, and provides distribution services in Ontario, Quebec,
New Brunswick and New York State. Enbridge employs approximately 6,000 people,
primarily in Canada and the U.S. Enbridge's common shares trade on the Toronto
Stock Exchange in Canada and on the New York Stock Exchange in the U.S. under
the symbol ENB. Information about Enbridge is available on the Company's web
site at www.enbridge.com.

    About ASAP

    ASAP is an industry initiative being led by Enbridge Inc. to identify
deep saline aquifers in Alberta that could be used in a carbon sequestration
pilot project. A true collaborative effort, 38 organizations have been
participating in the first phase of the project. For more information about
ASAP, please visit http://www.albertaasap.com/.

    Forward-looking Information

    Certain information in this news release is forward looking and related
to anticipated financial performance, events and strategies. When used in this
context, words such as "will", "anticipate", "believe", "plan", "intend",
"target" and "expect" or similar words suggest future outcomes. By their
nature, such statements are subject to significant risks and uncertainties,
which could cause EPCOR's, Enbridge's or ASAP's actual results and experience
to be materially different than the anticipated results. Such risks and
uncertainties include, but are not limited to, operating performance,
commodity prices and volumes, load settlement, regulatory and government
decisions including changes to environmental and tax legislation, weather and
economic conditions, competitive pressures, construction risks, availability
and cost of financing, foreign exchange risks, availability of labour and
management resources and the performance of partners, contractors and
suppliers. Readers are cautioned not to place undue reliance on
forward-looking statements as actual results could differ materially from the
plans, expectations, estimates or intentions expressed in the forward-looking
statements. Except as required by law, EPCOR, Enbridge and ASAP disclaim any
intention and assume no obligation to update any forward-looking statement
even if new information becomes available, as a result of future events or for
any other reason.

For further information: EPCOR & Capital Power, Steve Buick, (780)
412-8877, sbuick@epcor.ca; Randy Mah (Investor Relations), (780) 412-4297,
rmah@epcor.ca; ENBRIDGE, MaryAnn Kenney, (403) 508-6563,
maryann.kenney@enbridge.com; Vern Yu (Investor Relations), (403) 231-3946,
vern.yu@enbridge.com