Recycled Newsprint Project Submits Report

Besicorp-Empire Development Company, LLC submitted its draft Interconnection Study to the New York Independent System Operators in connection with a facility the firm plans to construct in Rensselaer, N.Y.

The Interconnection Study analyzes the reliability impacts of the project on the transmission system. This study is a required report of the NYISO and part of the approval process in Besicorp-Empire's proposed construction of a natural gas-powered cogeneration and newsprint recycling facility. The facility will produce around 500 megawatts of electricity for the New York state merchant market and will produce over 330,000 metric tons of 100 percent recycled newsprint per year.

The permitting/approvals phase of the project is scheduled for completion in the fourth quarter of 2002, with construction targeted for the first quarter 2003 and commencement of operations in 2004.

The facility is being sited at a former chemical manufacturing plant located along the Hudson River in Rensselaer.

Dick Clark, vice president Project Management, stated, "The results of this study show that there are no identified significant power transmission obstacles to impact the development of this exciting project."

Besicorp-Empire Development Company, LLC is a joint venture between Besicorp Development, Inc. and Empire State Newsprint, LLC. Besicorp Development, Inc. specializes in the development of environmentally sound independent power projects.