WINDOW ROCK, Ariz. ­ Navajo Nation President Joe Shirley, Jr., today
welcomed the approval of the final air permit from the U.S. Environmental
Protection Agency for the Desert Rock Energy Project.

The Navajo Nation has waited more than four years for the permit that will
enable it to begin construction on the $3 billion, 1500-megawatt coal power
plant that is being jointly developed by the Diné Power Authority and Sithe
Global.

President Shirley received the news of the permit through a phone call with
U.S. EPA Region 9 Administrator Wayne Nastri today. He said he appreciated
the diligence put into getting the permit issued.

³I know there are many challenges,² President Shirley said. ³Native people,
Navajo people included, regard the earth as our mother, the sky as our
father, and certainly we¹re doing everything we can to take care of the air
and the environment. At the same time we know that the deities want us to
stand on our own, and that¹s where Desert Rock comes in.²

The President said the development of the project means needed jobs and
revenues for the Navajo Nation.

³As a Nation, we¹re working very hard toward standing on our own two feet,
and this permit goes a long ways toward bringing all that into fruition,² he
said. ³We know that there will continue to be challenges, but, hopefully, at
day¹s end we will prevail.²

Dirk Straussfeld, executive vice president of the Desert Rock Energy Co.,
called the issuance of the permit ³another important milestone."

"After receiving overwhelming support from the Navajo Navajo Council when it
voted 66-7 in 2006, this final permit is another important step in a long
process. We are very pleased the EPA has finally put forth the final permit
that recognizes Desert Rock's environmental performance standards are some
of the most stringent in the country and would set a new level of
performance for coal-fired plants in the United States."

Steven C. Begay, general manager of the Diné Power Authority, said the
permit turns on ³a number of green lights to go forward with the Desert Rock
Energy Project.²

³There are other entities waiting to move forward with their participation,²
he said. ³People have been waiting to hear this."

Among them, he said, are unions that will provide skilled labor and
utilities which can now plan to purchase power from the project.²

³The mining permits will also move forward, and here we¹re working on our
right of way, and I think the proposal will receive a more positive
response,² he said

Doug MacCourt, of the law firm Ater Wynne, who represents the Dine Power
Authority, said DPA has worked hard for more than five years to see the
permit issued.

"The process has been open, fair and respectful of the Navajo Nation, he
said. ³Remember that this project is not just about energy. It is about
tribal sovereignty, about independence, and quality of life for an entire
nation. I am very proud of the DPA and all the members of the Navajo Nation
who have worked so hard to make Desert Rock a reality."

Earlier this year, DPA and Sithe sued EPA to compel action on the permit
that was more than three years overdue. Today's action was in accordance
with a consent decree that required EPA to issue its permit by July 31.

The project will be one of the cleanest coal projects in the world, using
the most advanced pollution control technologies to reduce regional haze
pollutants and mercury. It will also reduce water use by 85 percent because
of the advanced air cooling technologies that will be used, and reduce
greenhouse gases by 20 percent because of its improved efficiency.

The project is expected to create more than 1,000 annual jobs during the
four-year construction period, and more than 400 permanent jobs. It will
bring more than $50 million annually to the Navajo Nation in direct economic
benefits.

President Shirley said the permit cements the environmental performance that
the Navajo Nation and its partners have been committed to from the
beginning.

The project will now have to get a Maximum Achievable Control Technology
Assessment assessment for hazardous pollutants, such as mercury. Given
Desert Rock's control technology, officials say that should pose little
challenge.

The final key outstanding item is the project's Environmental Impact
Statement managed by the Bureau of Indian Affairs. In late 2007, the comment
period closed following 10 public hearings in communities around the region.