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Cleco's Rodemacher Project in Commercial Operation

Feb 12, 2010

PINEVILLE, La., - Cleco Power LLC, a subsidiary of Cleco Corp. (NYSE:CNL), today announced that its Rodemacher 3 unit is in service and producing power that will benefit its customers today and into the future.

"Commercial operation of this plant is the culmination of six years of hard work," said Mike Madison, president and chief executive officer of Cleco Corporation.  "Our focus, determination and resilience have brought us to a memorable point in our company's 75-year history."

The Shaw Group Inc. has met provisional performance guarantees to achieve commercial operation, and Cleco has accepted control of the unit.  Shaw will remain on site to address miscellaneous items as well as to continue optimizing unit operation to ultimately meet performance guarantees.

"Shaw is pleased to have worked with Cleco to deliver the state-of-the-art Rodemacher 3 facility," said Fred Buckman, president of Shaw's Power Group. "We are proud to reach substantial completion on this important project that will benefit our client and its customers."

Commercial operation of the $1 billion project located near Boyce activates Cleco's new rate plan approved by the Louisiana Public Service Commission in October 2009.  The new plan allows for recovery of the unit's costs and is the company's first full rate restructuring in over 20 years.

The 600-MW generating unit will use circulating fluidized-bed technology that can accommodate multiple solid fuels to generate power.  Initially petroleum coke, an oil refining byproduct, will fuel the unit; however, the plant's technology also allows for the use of renewable products like biomass as fuel. Cleco is currently researching woody biomass as a potential fuel since the new facility is located in a timber-rich area.