OGK-4 ANNOUNCES BIDDING TO SELECT GENERAL CONTRACTOR FOR CCP-400 CONSTRUCTION AT SHATURSKAYA TPP

Generation Company Four of the Wholesale Electric Power Market (OGK-4) has announced an open one-stage bidding to select the general contractor for the CCP-400-based Replacement Capacity Project to be implemented at its Shaturskaya TPP Subsidiary. With the preferred bidder, the Company will entered into the General Contractor Agreement for design, delivery of equipment and materials, and turnkey construction of 400-MW single-shaft combined-cycle plant. 

The deadline for the submission of competitive bids is November 8, 2006. The proffered bidder will be the one who will offer the best overall technical and economic conditions in accordance with the bidding documentation. It is expected that the customer and the preferred bidder will sign the bidding results minutes at OGK-4 on the day of the Bidding Committee meeting for the approval of the preferred bidder and the signing of relevant minutes.

The investment project related to the creation of the CCP-400-based replacement capacity at Shaturskaya TPP has been approved by the Investment Committee of RAO UES of Russia. The Project is on the List of High Priority Sites for the Commissioning of Generating Facilities Within the Unified Energy System of Russia. The commissioning of the CCP-400 unit at Shaturskaya TPP is scheduled for December 2008, with the Project cost to exceed 10 billion rubles. The project will be financed from the Company's own funds and raised funds, including those raised through the placement of additional shares.