HR Milner Generating Station ("HR Milner") is a 150 MW coal-fired power station located near the town of Grande Cache, Alberta, which has been in continuous operation since 1972.

Effective March 31, 2005, Maxim Power Corp. ("MAXIM") completed the acquisition of MPLP from the existing partners in the Partnership, each of whom acted at arm's length to MAXIM.

HR Milner is considered to be operating within acceptable environmental parameters and personnel are trained in environmental performance and continuous improvement.

Plant Operations

Plant Geographic Location

Plant Operations

The station provides voltage support for the northern part of Alberta’s transmission grid utilizing two 25 kV and two 144 kV transmission lines. The single unit is coal-fired with a unique balanced draft Babcock & Wilcox downshot fired boiler, which was designed to burn by-product coal materials. The power produced by the unit is sold both on the spot market through the Alberta Power Pool and through bilateral marketing arrangements as appropriate.

Situated in the Smoky River valley approximately 20 kilometers north of Grande Cache and about 445 kilometers west of Edmonton, HR Milner is important to the local economy of the region providing employment to ~60 full time employees. The Grande Cache - Milner area is located in the Rocky Mountain Foothills physiographical region, which is typified by rugged topography.

History

Construction of HR Milner began in 1969 by Canadian Utilities, Alberta Power’s parent company, and was commissioned in 1972. Since 2000, the facility was operated by ATCO Power (2000) Ltd. under an operating agreement with the Alberta Balancing Pool.

On August 26, 2003, MAXIM issued a press release identifying their intent to acquire HR Milner through a consortium of private equity investors. On October 30, 2003, the Milner Power Limited Partnership (“MPLP”), a consortium headed by MAXIM, entered into a binding Asset Sale Agreement with respect to the purchase of HR Milner from ATCO Power (2000) Ltd. and the Balancing Pool with final closing announced on January 29, 2004. Milner Power Inc. is the General Partner of MPLP and will be responsible for managing the affairs of MPLP. Milner Power Inc. has contracted with MAXIM for the provision of operating services for the plant.

Process Overview

A general overview of the power generating equipment and associated facilities are as follows:

Turbine

Hitachi: 150 MW, 11 stage, condensing, non-reheat turbine. Inlet steam at 510°C (950°F) and 8.8 Mpa (1265 psia).

Generator

Hitachi: Alternator rated at 166,667 kVA, hydrogen-cooled.

Boiler

Babcock & Wilcox: Downshot, pulverized coal, balanced draft with designed capacity of 612 tonnes (1,350 kpph) with superheater outlet conditions of 8964 kPa (1300 psia) and 513°C (955°F).

Pulverizers and Ash Disposal

The boiler is equipped with two Riley double-ended ball tube mills. Bottom ash is sluiced to dewatering bins and is then hauled by truck to an off-site ash storage area. Fly ash is transferred to a fly ash silo and is then hauled by truck to the ash disposal area.

Feedwater Supply

The non-reheat configuration has a feedwater cycle that consists of three motor driven boiler feed pumps, two low-pressure heaters, a de-aerator, and two high-pressure heaters.

Condenser and Cooling Tower

The condenser (with stainless steel tubes) cooling is provided by circulating water from an Ecodyne four cell mechanical draft cooling tower. Makeup water comes from the Smoky River adjacent to the site.

Particulate Removal

Particulate removal consists of a set of multi-cyclone mechanical separators followed by a Flakt pulse jet fabric filter (baghouse).