TALTSON HYDROELECTRIC EXPANSION PROJECT

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1 TALTSON HYDROELECTRIC EXPANSION PROJECT Prepared for: Yellowknife Scoping Sessions December 7, 2007 Presented by: DEZÉ ENERGY CORPORATION

2 TALTSON HYDROELECTRIC EXPANSION PROJECT Introduction Presentation follows Project Description Please ask questions and clarifications during presentation

3 INTRODUCTION AND BACKGROUND Expansion Project Key Components and Output 36 MW new (54 MW Total) hydroelectric plant 690 km of new transmission line 420 GWh per year of renewable electricity to existing customers and proposed and existing diamond mines No increase in flooding

4 CORPORATE PROFILE The Taltson Expansion Project is proposed by the. The is equally owned by the: Akaitcho Energy Corporation Métis Energy Company NWT Energy Corporation (03) Ltd.

5 PROJECT PURPOSE AND RATIONALE Trudel Creek Taltson Basin Section of Interest Twin Gorge Forebay Transmission Line Nonacho Control Structure Diesel Fuel and GHG Reductions Winter Roads Decreased Fuel Tanker Traffic Limited Environmental Footprint Long Term Socioeconomic Benefits Aboriginal Ownership

6 TALTSON BASIN AND EXISTING POWER PLANT Taltson Basin and Transmission Line

7 TALTSON BASIN AND EXISTING POWER PLANT Twin Gorges and South Valley Spillway

8 EXPANSION PROJECT HYDROLOGICAL BASIS Taltson Basin Hydrology Taltson River is a managed system Nonacho Lake connected to the north end of the Taltson River through a slow moving system of river reaches and lakes. At existing Twin Gorges generating facility, Taltson River flows through the generating plant and excess water is spilled to Trudel Creek. Trudel Creek (33 km) joins the Taltson River immediately upstream of the generating plant tailrace.

9 PROJECT CONCEPTS AND ALTERNATIVES Power Generation Concepts and Alternatives Janine Lake Option North Gorge Option

10 PROJECT CONCEPTS AND ALTERNATIVES Transmission Line Alternatives

11 PREFERRED PROJECT North Gorge Schematic

12 PREFERRED PROJECT North Gorge Model and Design

13 PREFERRED PROJECT Nonacho Control Structure

14 PREFERRED PROJECT Transmission Line

15 PROJECT OPERATIONS Transmission Line

16 PROJECT CONSTRUCTION Re-open temporary winter road from Ft. Smith to Twin Gorges New temporary winter road Twin Gorges to Nonacho Lake 8 staging areas along new winter road 4 barge landings and staging areas New temporary camp at Nonacho Lake; expanded camp at TG; and 2 floating camps at barge landings Transmission line helicopter construction Drilling & blasting of North Gorge and Nonacho Control Structure Activities

17 PROJECT CONSTRUCTION Schedule

18 RESOURCES Construction Resources (skilled & unskilled): Twin Gorges Power Plant ~150 positions Nonacho Lake ~65 positions Transmission Line ~140 positions Substations ~45 positions Operational Resources: Long-term Operations/Maintenance ~10 positions Indirect Employment: Supply and service industries Freight and fuel trucking Aerial transportation Logistical support

19 NEXT STEPS Continue with baseline studies Meet with working groups to review details of studies to date, identify areas of interest, and confirm study programs On-going participation with engineering and design team to identify and incorporate impact mitigation measures, where feasible Conduct environmental impact assessment

20 Masi Cho! QUESTIONS AND COMMENTS!!

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