STRATHCONA COGENERATION PLANT

The Need Williams Canada Propylene ULC (Williams) has received approval to construct a propane dehydrogenation (Alberta PDH) facility in Strathcona County, Alberta. The Alberta PDH facility will produce polymer grade propylene – a valuable petrochemical feedstock that is used to produce plastics that are in turn used to create many consumer products.

ATCO Power has been selected by Williams to build and operate a cogeneration plant on the Alberta PDH site to provide electricity and high pressure steam to the Alberta PDH facility. Excess electricity generated will be sold into the Alberta electricity market.

The ProjectATCO Power is proposing to build and operate an approximate 90 megawatt (MW) cogeneration plant called the Strathcona

Cogeneration Plant to meet the high pressure steam and electricity requirements of the Alberta PDH facility.

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PROPOSED ATCO POWER STRATHCONA COGENERATIONPLANT BOUNDARYALBERTA PDH SITE BOUNDARY

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LocationThe proposed Strathcona Cogeneration Plant will be located on approximately four hectares of the Alberta PDH site, which is located approximately three kilometers northeast of Fort Saskatchewan, Alberta. As Canada’s largest industrial processing centre for petroleum and petrochemical industries, the Industrial Heartland offers ideal opportunity for the Alberta PDH facility to complement other development in the area.

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About the Strathcona Cogeneration PlantThe Strathcona Cogeneration Plant is being designed with either one 84 MW natural gas-fired gas turbine or two 45 MW natural gas-fired turbines. Natural gas will be used in a gas turbine (A) to produce electricity and heat; the heat will then be captured in a specialized heat recovery steam generator (B) that produces steam that will be delivered to the Alberta PDH facility. Transformers (C) will step-up the

voltage to accommodate the Alberta PDH facility and Alberta electricity grid needs. Natural gas-fired boilers (D) are used to supplement the steam supply to the Alberta PDH facility and a water treatment plant (E) will purify the water before use in the cogeneration plant and Alberta PDH facility. The cogeneration plant raw water supply and wastewater disposal will be provided by the Alberta PDH facility.

BenefitsATCO Power is designing the proposed Strathcona Cogeneration plant to be highly integrated with the Alberta PDH facility. An integrated cogeneration plant uses less water and energy, and has lower emissions than other types of

fossil-fueled plants thereby minimizing overall environmental impacts while providing an efficient source of electricity and steam to the Alberta PDH process.

Transmission InterconnectionThe Alberta Electric System Operator (AESO) administers the process for connecting power plants, such as the proposed Strathcona Cogeneration Plant, to the Alberta Interconnected Electrical System (AIES). The AESO is responsible to the AUC to ensure the power line and point of interconnection best suit the electrical system needs of today and in the future. The AESO will direct the regional Transmission Facility Operator, AltaLink, to design, permit, build and operate the required power line and related equipment to interconnect the Strathcona Cogeneration Plant with the AIES.

Once the AESO has determined the best interconnection point, AltaLink will evaluate specific transmission line route

alternatives. Their work will consider many factors like overall power line length, landowner impacts, environmental impacts, other utility right-of-ways, access and future electrical system needs.

AltaLink will conduct the work to permit the new power line including informing and engaging stakeholders in the design of the transmission system, technical and environmental studies, and filing an AUC application for the new power line in 2016. If you have a land interest within 800 meters of the proposed power line, you will be contacted by AtlaLink as part of their consultation process.

Project ScheduleIn the summer of 2015, following completion of environmental studies and public consultation, ATCO Power will submit applications to provincial regulatory agencies, the Alberta Utilities Commission (AUC) and Alberta Environment and Sustainable Resources Development (AESRD), for approval to build and operate the proposed

Strathcona Cogeneration Plant. Following the submission of provincial regulatory applications, ATCO Power will submit an application to Strathcona County for development and building permits. Once all regulatory applications are approved, our plan is to begin construction in 2016 with full operation expected in late 2018 or early 2019.

Cogeneration is an efficient and environmentally attractive means of generating steam and electricity in one integrated facility.

Air Quality & Noise Emission AssessmentsThe proposed Strathcona Cogeneration Plant is being designed with nitrogen oxides (NOx) combustion systems to reduce NOx emissions in compliance with provincial and federal air emission standards and regulations.

A detailed air quality assessment is being conducted to predict the incremental effects on air quality from the proposed Strathcona Cogeneration Plant. This assessment will include cumulative effects of the plant emissions within the airshed. The air quality assessment will be submitted as part of the application to the AESRD and is required to demonstrate that the cogeneration plant will not materially change the air quality in the area.

A detailed noise impact assessment is currently underway to understand the noise that will be generated from the cogeneration plant and the cumulative noise within the existing

local environment. This detailed noise impact assessment will be submitted as part of the AUC application.

Noise from power generation facilities is regulated by the AUC under Rule 12 - Noise Control, which requires that cumulative noise levels (existing noise plus noise from approved new developments) at dwellings within 1.5 kilometers of the cogeneration plant do not exceed a designated Permissible Sound Level. The Northeast Capital Industrial Association’s recently developed Regional Noise Management Plan for the Industrial Heartland Region will also be incorporated into our noise assessment.

The proposed Strathcona Cogeneration Plant will include mitigation equipment designed to reduce the amount of noise caused by the cogeneration plant and will comply with provincial AUC standards.

Consultation ProcessATCO Power is committed to engaging in a timely and meaningful consultation with the community regarding the proposed Strathcona Cogeneration Plant. We will work in a collaborative and responsive manner to share information about the plant and listen to, understand and address questions and concerns from landowners and other interested parties.

ATCO Power is an experienced, industry-leading expert in developing, building and operating power generation facilities. We are known for our strong safety record and the reliability of our generating units with an ownership position in 13 power generation stations in Canada.

We Want To Hear From You

For questions regarding the

Williams Energy Canada Alberta PDH Project:

Call: 1-403-815-0808

Email: david.luff@williams.com

For questions regarding ATCO Power’s proposed Strathcona Cogeneration Plant:

Call: 403-209-6951 or 1-855-909-6951 (toll free)

Email: strathcona@atcopower.com