Presented by: Sea Breeze Pacific Juan de Fuca Cable, LP

1. Juan de Fuca Cable Presented by: Sea Breeze Pacific Juan de Fuca Cable, LP

2. Presentation Overview • Introduction • Need for Project • Project Description • Environmental Considerations • Permitting

3. Introduction Sea Breeze Pacific Juan de Fuca Cable, LP (“Sea Breeze Pacific”) is proposing to construct and have operated a 550 MW High Voltage Direct Current (“HVDC”) Light™ transmission line between Port Angeles, Washington State, and the Greater Victoria Area, B.C.

4. Project Proponent and Team Sea Breeze Pacific Juan de Fuca Cable, LP is a joint venture between Sea Breeze Power Corp., and Boundless Energy, LLC.

5. Sea Breeze Power Corp: Vancouver-based renewable energy company building both wind and run-of-river hydro electric projects. • Boundless Energy LLC:Transmission and utility engineering company based in York Harbor, Maine. Originators of the “Neptune Regional Transmission System” HVDC concept and plan. • ABB, Inc.:One of three companies in the world involved in large scale HVDC engineering. • Design, manufacturing, and installation company, has completed major projects on every continent. • Currently seven operating HVDC LightTM lines in the world. • A 110 km line was just approved to link Finland with Estonia.

6. Need for the Project • Opportunities to strengthen B.C. and Washington transmission grids and improve voltage stability • Consideration of short-term and long-term power generation, supply and load demand conditions • Open Season, in which utilities will competitively bid to use the line, will ultimately demonstrate need

7. Power Situation in the Pacific Northwest • BC has high generation potential • Many opportunities for electricity interchange • Potential energy for transmission: • More than 7000 MW in coastal B.C. • 2000 MW in northern Alberta

8. Project Description • HVDC Light™ Technology • Location and Routing • Installation and Construction

9. HVDC Light™ Technology • A proven, state-of-the-art technology with low environmental impact and no fluctuating electro-magnetic field (EMF) • Relatively low operating temperature, and non-liquid insulation AC and DC transmission cables. Two cables at far right are HVDC LightTM. Photo courtesy of ABB.

10. Approximate diametre of cable bundle: • 16 cm on land • 25 cm at sea • Approximate temperature: • 70°C in core • 60°C on cable surface. • Heat is equivalent to one 20 Watt light bulb per metre, or one 60 Watt light bulb every 3 metres. Rate of heat dissipation will depend on substrate. Gotland HVDC Light™ cables. Photo courtesy of ABB. All cables would be buried – no overhead lines

11. Location & Routing Would connect converter stations near existing substations in the Greater Victoria Area, B.C. and Port Angeles, Washington. Proposed terrestrial and underwater cable routes will be subject to Federal and Municipal regulations. Approximate lengths of cable: Greater Victoria to Port Angeles: 46 km Proposed length on B.C. side: 10 km Proposed length on WA side: 3 km Length at sea: 33 km

12. Proposed marine corridor – approx. 500m wide

13. Project planning and studies will take into account consultation with interested and affected parties, and will consider: • Environmental factors • Fisheries • Transportation • First Nations interests • Aesthetic factors • Commercial use • Recreational use

14. Installation & Construction Installation – Offshore/Marine A ship-towed machine would create trenches, into which the HVDC cable system would be buried. The cable comes from the factory as one continuous length. The trenches would be deep enough to prevent disturbance by ship anchors, etc. Anticipated depth of burial is approximately 1 to 1.5 metres.

15. Artistic rendering of marine cable installation

16. Overview of cable installation foreshore and offshore

17. Installation – Marine to Terrestrial Transition • Horizontal directional drilling (HDD) would be used to avoid adverse environmental effects. • A versatile technology that uses a precision-guided directional system to bore a hole through soil or rock. • Disturbance to marine foreshore areas is minimized by drilling underneath them. As a result, the intertidal zone would be undisturbed by cable installation.

18. Installation – Terrestrial • Beyond the transition zone, buried HVDC cables would connect to a converter station. • Proposed path is within a public road right-of-way Diagram of cable installation beneath road right-of-way

19. Converter Stations A converter station would be needed to convert DC to AC and vice versa. Converter stations can be designed to fit into their surroundings.

20. Environmental Considerations • Choice of Technology • Choice of Installation Techniques • Noise and Traffic Considerations • Environmental Studies and Consultation

21. HVDC LightTM Technology – Environmental aspects • No fluctuating electromagnetic field: •  expected to have minimal to no effect on the sensory organs of marine mammals and fish. • Cables are not liquid-cooled: •  do not pose any danger of coolant leaks or spills. • Relatively low operating temperature: •  expected to have low impact on the local heat regime • No adverse impact anticipated to fisheries resources during operation.

22. Choice of Installation Techniques – Environmental aspects • Buried submarine and terrestrial cable • Disruption to marine floor is expected to be local and short-term • Directional drilling avoids damage to natural and cultural features by drilling deep underneath them.

23. Noise & Traffic Considerations Installation • Noise and visual impacts related to the cable would be temporary and limited to construction •  similar to the installation of a buried telephone cable. • Once cable is installed, maintenance activity would be minimal. Converter stations • Design could include features to minimize noise • Outer structure could be designed by architects to minimize visual impact

24. Environmental Studies and Consultation Proposed Marine Studies Proposed Terrestrial Studies • Physical: • Bathymetry • Geotechnical • Terrain and obstacles • Archaeology • - Offshore core sampling • Biological • Mammals • Fisheries • Birds • Nearshore ecosystem • Socio-economic studies • - Traditional use and knowledge • Physical: • Geotechnical • Hydrology • Archaeology • Noise • Biological • Wildlife and avifauna • Vegetation • Socio-economic studies • - Traditional use and knowledge Sea Breeze is committed to a high standard of consultation with any individuals or groups who may be affected by the Project.

25. Expected Timeline 1. Terrestrial field studies: - Start June 2005; completion anticipated July 2005 • Marine field studies: Start June 2005; completion anticipated August 2005 3. Permitting: Start September 2004; completion anticipated March 2006 4. Operational: The physical construction phase is expected to begin November 2006 and be completed by November 2007.

26. Permitting • Final National Energy Board application is expected to be filed October 2005 and will include information to meet Canadian Environmental Assessment Act requirements. • No Provincial permits required. • Municipal permits will follow federal permit approvals.

27. Past Experience The Neptune Regional Transmission System, designed by Sea Breeze Pacific partners, has been fully permitted through all environmental processes. The system will start in New Jersey and, through micro-tunneling, bring one end of the 660 MW HVDC cable up into Long Island underneath Jones Beach, a popular local park. This line in the very populated New York area has had no public opposition.

28. Thank you