ERCOT endorses Cross Valley 345 kV line project

As endorsed by ERCOT, the Cross Valley project will require the construction of a new double circuit 345 kV transmission line

Dallas, January 17, 2012 — Sharyland Utilities, L.P. and the Brownsville Public Utilities Board jointly announced that the board of the Electric Reliability Council of Texas has endorsed the Cross Valley 345 kV Line Project by a unanimous vote.

As endorsed by ERCOT, the Cross Valley project will require the construction of a new double circuit 345 kV transmission line, which will travel about 106 miles beginning at an existing substation in north Edinburg, heading south toward south McAllen and Mission, and then heading east to the existing Loma Alta substation located in east Brownsville.

The project will also require the construction of a new 138 kV line, which will run about 12 miles between the Palo Alto substation in Brownsville to the La Palma substation near Harlingen.

Sharyland and BPUB have been studying the project for over two years and jointly proposed the Cross Valley project back in May 2011. Sharyland and BPUB have been working diligently over the past nine months to shepherd this project through the ERCOT review process.

Sharyland and BPUB look forward to working with all stakeholders over the coming months as they prepare an application to the Public Utility Commission of Texas (PUCT) to amend Sharyland's Certificate of Convenience and Necessity (CCN) to approve the project.

Sharyland and BPUB expect the project to be completed and in service by the beginning of 2016, assuming final approval by the PUCT.

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