Costly Oil a Plus for This Power Fund

Article Excerpt

INNERGEX POWER INCOME FUND $12.10 (Toronto symbol IEF.UN; SI Rating: Extra Risk) owns interests in 10 hydroelectric power generating facilities in Quebec, Ontario, British Columbia and Idaho as well as two wind farms in Quebec. The company’s hydroelectric plants in Quebec are at La Chaudiere, Saint-Paulin, Montmagny and Windsor, There are also three facilities at Portneuf, Quebec. The Ontario plant is at Batawa, the B.C. station is at Rutherford Creek and the Idaho facility is at Horseshoe Bend. The 10 hydro facilities have 129.9 megawatts of installed generating capacity. Innergex has long-term power purchase agreements for the 10 plants averaging 14.8 years with Hydro-Quebec, Ontario Electricity Financial, B.C. Hydro and Power and the Idaho Power Company. In October 2007, the fund acquired a 38% interest in two Quebec wind farms for $172.9 million. The Baie-des-Sables wind farm has an installed capacity of 109.5 megawatts and the Anse-Ga-Valleau wind farm totals 100.5 megawatts. The two wind farms have 20-year power purchase agreements with Hydro-…