Investor Presentaiton
Existing Permitted Gas Plants in California Have Embedded
Value Which Can Grow Over Time
High barriers to entry for new gas generation. Steel in the ground has significant value.
New builds are difficult to permit, expensive to build and require long (~10 year) development time
horizons. There are no new gas plants under construction in the densely populated San Francisco
region.
High demand drives premium pricing in these constrained load pockets - a key value driver for existing
facilities in these regions.
CAISO Local Constrained Areas¹
Tracy
San Francisco
Ripon
Hanford
Henrietta
AltaGas
Los Angeles
• Pomona
Blythe
1 Draft Manual 2016 Local Capacity Technical Study, California Independent System Operator, October 2014
See "forward-looking information"
Tracy, Hanford, Henrietta and
Ripon are all located in the San
Joaquin Valley region east and
south of San Francisco. Provide
grid stability with flexible and fast
ramping capacity that backstops
renewables
■ Pomona is in the LA Basin load
pocket
Existing sites are all well suited
for energy storage, resulting in
lower brownfield development
costs
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