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Castle Peak Power Objection

PRESS RELEASE – January 25, 2007

Clear The Air objects to Exxon/Mobil attempt to take over Soko Island

Yesterday, Clear The Air submitted its objection to the Castle Peak Power Environmental Impact Assessment for the building of a facility to store methane gas.

Methane is a major greenhouse gas. It is called liquefied natural gas or LNG when chilled.

Exxon/Mobil is the majority shareholder of Castle Peak Power.

Our submission shows that we can meet our energy needs and reduce pollution significantly without this facility. (graph shown on our submission). Exxon/Mobil has the following options:

a. Stop burning coal to create electricity to sell to China
b. Eliminate the 50% discount for large users to encourage energy savings
c. Start practicing proper demand management to reduce energy use by 30% using techniques that have been successful in Thailand, South Korea and the US.

The following options are also available for LNG supply

1. Extend the existing contract with the Chinese company CNOOC so they can drill new gas wells to provide methane beyond the current contract period. CNOOC has indicated in the press that they are willing to do so.
2. Use ships that warm up the methane on-board instead of on land.
3. Invest in proven “clean coal” technology
4. Use the Chinese company SINOPEC as a methane supplier as they have shown interest in supplying Hong Kong from an LNG facility they are planning to build on Huangmao Island. (map included in submission).

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