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Terrawinds Resources Corp., through its common shares investor SkyPower Wind Energy Fund LP, has completed several milestones for its proposed wind farm near Riviere-du-Loup, Quebec.

According to the company, it is proposing to build a 114-turbine project that would produce a capacity of 171 MW. The company has signed a 21-year power purchase agreement with Hydro-Quebec for the sale of the energy. However, it still must test 22 turbines for 120 days in order to construct the wind farm, the company says.

Terrawinds is in the process of negotiating an extension to - and further increasing the amount of - the turbine supply loan that it received in December 2006 for C$130 million to construct the test phase. In addition, the company is in the process of applying for the ecoEnergy Renewable Power Initiative that replaced the previous Wind Power Production Incentive program established by the Canadian government. The new program would provide $0.01 per kWh for up to 4,000 MW for renewable energy projects in Canada, including wind farms.

Furthermore, completion of the substation and interconnection with the power grid are expected to be complete in the second quarter of 2007, Terrawinds adds.


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