York Energy Centre Update

CALGARY , Jan. 19 /CNW/ - Pristine Power Inc. (TSX: PPX) ("Pristine" or the "Company"), an independent Canadian developer and operator of electricity and steam generation facilities, today announced that the Township of King, Ontario passed an Interim Control By-Law allowing the Township to study certain land use planning matters pertaining to the York Energy Centre ("YEC"). The YEC was selected by the Ontario Power Authority in late 2008 to meet critical electrical grid needs in the Region of York. This environmentally responsible power generating project has received its major provincial environmental approvals and essential contracts are in place.

"We are disappointed that the Township of King has chosen to implement the Interim Control By-Law. We are evaluating the potential impact of this by-law on the overall project schedule, as well as alternative actions that we may take including, but not limited to, appeals to the appropriate regulatory authorities and other legal remedies available to us" said Jeff Myers , President and CEO of Pristine Power Inc. "Accordingly, the by-law's effect on the commencement of construction and commercial operations of the YEC has not been fully determined at this time. We remain committed to the ultimate success of the YEC project and, in the intervening period, will continue to work closely with our suppliers and contractors to minimize impacts on project schedule and project economics."

YEC is a "shovel ready" 393 MW gas-fired generation facility located in the Township of King, Ontario. Total project costs are expected to be up to approximately $365 million , and Pristine holds a 50% interest in the project. As currently envisioned, the project would generate an average of 100 construction jobs over an estimated 24 month construction period, as well as significant property tax contributions to the Township of King and Region of York once construction is complete.

About Pristine

Pristine (TSX: PPX) is in the business of developing, owning and operating independent power plants that produce and sell electricity, and in some cases, sell process steam to industrial users. Pristine capitalizes on opportunities in the independent power market by actively pursuing the development of dependable, cost-effective and environmentally responsible power generation facilities utilizing technology with proven past performance. Pristine pursues a mix of large gas-fired, bioenergy and hydroelectric projects, and smaller replicable waste heat recovery ERG(R) and bioenergy projects. Pristine currently has three projects in operation, and one under advanced development. Pristine is developing projects in strategic regions of North America . Visit www.pristinepower.ca for more information.

Cautionary Statement Regarding Forward-Looking Information

Certain statements in this news release may constitute "forward-looking information" or "forward-looking statements" which involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company or industry results to be materially different from any future results, performance or achievements expressed or implied by such forward-looking information. When used in this news release, such information uses such words as "estimates", "expects", "plans", "anticipates" and other similar terminology. This information reflects the Company's current expectations regarding future events, including the development, construction and operation of the YEC project. Forward-looking information involves significant uncertainties, should not be read as a guarantee of future performance or results, and will not necessarily be an accurate indication of whether or not such results will be achieved. A number of factors could cause actual results to differ materially from the results discussed in the forward-looking information. Although the forward-looking information in this news release is based upon what management of the Company believes are reasonable assumptions, the Company cannot assure investors that actual results will be consistent with this forward-looking information. This forward-looking information is provided as of the date of this news release, and, subject to applicable securities laws, the Company assumes no obligation to update or revise such information to reflect new events or circumstances.

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For further information: The Equicom Group Inc., Alice Dunning, Telephone: [phone] x255, [email protected]