Sky Harvest site

In October 2005, Sky Harvest’s Saskatchewan subsidiary identified a potential wind power project site in Birsay, located in southwestern Saskatchewan, and commenced the collection of wind data through the installation of a meteorological tower and SoDAR. Five years of engineering analysis of the data collected indicates that the potential wind resource on the property significantly exceeds the minimum capacity factor necessary to justify the planning and construction of a nameplate capacity 175 megawatt wind power project on the site. The wind pattern on the Sky Harvest site is strong and consistent throughout the year, as well as during peak demand times. The wind pattern also exhibits low turbulence, a valuable factor for low operating and maintenance costs, and turbine contract warranties.  David Baker, former President of Phoenix Engineering, a prominent wind power engineering firm said, “Wind data at the Sky Harvest site is consistent with other strong wind farm sites in Canada.”

In addition to being located in an excellent wind resource area, the project is ideally situated because it is removed from dense population centers and is located on relatively flat land that is accessible by principal and grid roads that intersect the property and rail. This provides valuable existing infrastructure for the construction phase of a wind power project. The Sky Harvest property also has a 230kV provincial e lectricity transmission line which traverses the property. These “cost to build” advantages are mater ial to securing an Electricity Purchase Agreement.  The project is in close proximity to the Gardiner hydroelectric dam, a central generation and transmission hub, which would facilitate the ability to balance and shape wind power output with hydro storage.  Sky Harvest has executed land lease agreements with landowners allowing it to erect wind turbines on approximately 15,520 acres. The term of the leases is for 25 years with Sky Harvest holding an option to extend the agreement term for an additional 25 years.

Genivar issued the Birsay Wind Power Project Resource Assessment to Sky Harvest which encompassed data gathered and processed.  The reports were based upon the use of varied turbine models.  Site specific wind data was correlated with Environment Canada data located at Lucky Lake, which is approximately 23 km from the Project site.  The Project site data has been generated with the use of one anemometer and 3 separate SoDAR units.  The data was collected to reflect results using three different Project sizes. The net capacity factors produced were for the separate project sizes (at the P50 confidence level).   The Wind Resource Assessment report is a comprehensive bankable analysis of expected production at the Project Site.  The report also includes an initial layout over the project area and includes turbine placement with all three size options.

The company has completed engineering and environment screening studies on the site. Environmental studies conducted by Golder & Associates, a prominent environmental consulting firm, indicate that the site is not subject to significant issues concerning land use.  These studies identify flora or wildlife, archaeological and historical artifacts on the site, permitting, community and potential visual impact concerns.  An Avian Study was issued to Sky Harvest and was conducted using detection and analysis, which has become customary to the wind industry.  Specific recommendations as to siting and additional monitoring were identified, all of which are usual and manageable given the size of the project footprint and the evolution of the technology over the past three years.

The Golder Report is a very comprehensive summary of potential environmental concerns which may affect how the Project is sized and designed.  The report also recommends doing additional seasonal studies which would be conducted within a 12 month period before construction.  None of those studies would be less than ordinary in the course of usual and customary project development practices in the wind energy industry.

At the initiation of the project, Sky Harvest committed to involve the local community in the development process and has briefed local council members and First Nations on the details of the proposed development. Many of the landowners are also shareholders of Sky Harvest and have aided with the erection of the study tower and data gathering.Leases for the entire project area are current and those involved in the project are eager to see the proposed project through to commercial operation. The local municipal authority responded positively to the proposed project and voted unanimously to amend local by-laws allowing wind power development in the rural municipality.