Press Release

Milbank Closes $295 Million Sale of Senior Secured Notes by Crockett Co-Generation to BNP Paribas

Transaction Also Establishes $25 Million Credit Facility

LOS ANGELES, CA and NEW YORK, NY, April 4, 2005 - The Los Angeles and New York offices of the international law firm Milbank, Tweed, Hadley & McCloy LLP served as counsel to BNP Paribas Securities Corp. as initial purchaser in the sale by Crockett Cogeneration of $295,000,000 of its 5.869% Senior Secured Notes due 2025. Milbank also served as counsel to BNP Paribas through its New York Branch, as bank facility agent in connection with the Crockett’s $25,000,000 letter of credit facility. Proceeds from the note issuance will be used to refinance existing bank debt of approximately $200 million and to recapitalize the project.

Crockett Cogeneration, a California limited partnership, owns, and, through an affiliated contractor, operates and maintains a 240-megawatt natural gas-fired cogeneration facility located in Crockett, California near San Francisco. The entire electric output of the facility is sold to Pacific Gas and Electric Company under a 30-year power purchase agreement. Substantially all of its net revenues are derived from this long-term agreement. Crockett, which has been operating since 1966, also sells steam under a sales agreement with the C&H Sugar Company refinery located adjacent to the plant.

Edwin F. Feo, co-chair of Milbank’s Utility and Energy practice and a member of Milbank’s Global Executive Committee, and Michael C. Banks a partner in the Global Securities Group, spearheaded the Milbank team. They were assisted by counsel David Isenberg and associates Kevin McSpadden, Sudhir C. Bhattacharyya, Holden Triplett, Ellie Kwack, Jason Blechman and Lauren Hwangbo.

Milbank’s Global Project Finance Group includes more than 90 lawyers actively involved in the financing of infrastructure projects in the United States, Latin America, Europe, the Middle East, Africa and Asia. In the past several years, the group has closed more than 140 project financings, valued in excess of $85 billion, and in a range of industries, including electric power, water, mining and metals, petroleum and natural gas, petrochemicals, aerospace, environmental, telecommunications and satellites, timber and paper processing, pipelines, toll roads and airports. Peer recognition includes:

• Euromoney’s Project Finance Magazine, 2004
  • Eight Deals of the Year – A Record Number
    
    
• Legal Week, 2004
  • International Firm of the Year
    
    
• The American Lawyer, 2003
  • No. 1 U.S.-Based Project Finance Law Firm
    
    
• Euromoney’s IFLR Guide to World’s Leading Law Firms
  • Most Recommended Project Finance Law Firm
  • No. 1 Project Finance Legal Advisor for Latin America
  • 12 Milbank attorneys named as world’s Leading Project Finance Lawyers
    
    

• Dealogic -- No. 1 – Top 10 Legal Advisers of Renewable Project Finance Deals, August 1, 2003 - July 31, 2004
  
  

• IFLR Asian Awards
  
  
• 2002 International Law Firm of the Year
  
  
• Infrastructure Journal, 2002
  • No. 1 Global Legal Advisor
  • No. 1 North American Legal Advisor
  • No. 1 Latin America Legal Advisor
  • No. 1 Power Legal Advisor
  • No. 1 Telecoms Legal Advisor
  • Telecom’s Firm of the Year

Milbank is a premier global law firm headquartered in New York, with offices in Los Angeles, Washington, D.C., Palo Alto, London, Tokyo, Hong Kong, Singapore, Munich and Frankfurt. In addition to global project finance, Milbank is a recognized leader in corporate finance and financial services law, transportation finance and other major fields of legal practice.