Reliant Energy begins construction on Choctaw County electric generating plant

HOUSTON, Oct. 1, 2001 — Reliant Energy Wholesale Group today announced that it has started construction on an 800-megawatt generating station in Choctaw County, Mississippi. The plant will be located near French Camp, which is approximately 90 miles northeast of Jackson.

"Reliant Energy Choctaw County is designed to provide a reliable supply of electricity during periods of moderate to high demand, and it will have substantial economic benefits for nearby communities," said Curt Morgan, president Eastern Region, Reliant Energy Wholesale Group. "We look forward to working with area residents and governmental bodies as we develop this valuable energy resource."

Construction on the plant began recently after the Mississippi Department of Environmental Quality approved an air permit for the project to operate. Commercial operation is scheduled for 2003. The combined-cycle project will include three General Electric 7FB combustion turbines, a steam turbine and an air-cooled condenser, which will minimize the need for water. Wells on the property will supply the necessary water.

"Because it will be air-cooled, Reliant Energy Choctaw County will use only about three percent as much water as a comparable water-cooled plant," Morgan said. "The plant will be fueled by natural gas and will utilize the best available technology to make it one of the cleanest, most efficient facilities of its kind in the nation."

The Choctaw County plant site is located at the hinge-point where the transmission systems of Entergy and the Tennessee Valley Authority interconnect so electricity produced can be delivered into either of those systems without incremental transmission costs.

Reliant Resources, based in Houston, Texas, provides electricity and energy services to wholesale and retail customers in the U.S. and Europe. The company has nearly 20,000 MW of power generation capacity in operation, under construction or under contract in the U.S. and is one of only five companies to rank among both the ten largest power marketers and the ten largest natural gas marketers in North America.

Reliant Resources also has wholesale trading and marketing operations and nearly 3,500 MW of power generation in operation in Western Europe. At the retail level, the company provides energy and Internet/communications services and will serve approximately 1.7 million customers in Texas when the electricity market opens to full retail competition in January 2002. Reliant Resources currently is a majority owned subsidiary of Reliant Energy. For more information, visit our website at .

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