TransCanada: Agreement Reached to Develop Ontario Power Plant

TransCanada: Agreement Reached to Develop Ontario Power Plant 
CALGARY, ALBERTA -- (Marketwire) -- 09/24/12 -- TransCanada
Corporation (TSX:TRP) (NYSE:TRP) (TransCanada) announced today it has
signed a memorandum of understanding with the Ontario Power Authority
(OPA) to develop, own and operate a new 900-megawatt natural
gas-fired power plant at Ontario Power Generation's Lennox Generating
Station property near the village of Bath in eastern Ontario.  
"We are very pleased an agreement was signed today to build a power
plant in Ontario," said Russ Girling, TransCanada's president and
chief executive officer. "TransCanada looks forward to expanding our
contribution of clean, safe and reliable power to the residents of
Ontario." 
The OPA and TransCanada will finalize a contract based on the terms
of the memorandum of understanding. It is expected that all contracts
will be finalized by December 14, 2012. The Lennox power plant would
act as a replacement facility for one that was planned in the
community of Oakville. 
TransCanada currently operates the 683-megawatt (MW) Halton Hills
Generating Station in Ontario, has a 50 per cent ownership in the
550-MW Portlands Energy Centre on the Toronto waterfront and has
agreed to purchase nine Ontario solar plants that would produce 86 MW
of clean energy. TransCanada also owns a large portion of the Bruce
Power nuclear facility - 49 per cent of Bruce A and 32 per cent of
Bruce B. Bruce Power consists of two generating stations (Bruce A &
B) with each station housing four nuclear reactors. Six of those
reactors are currently operational, producing more than 4,700 MW of
power. A refurbishment of the Unit 1 and 2 reactors is nearing
completion, which will boost power output to 6,200 MW. 
With more than 60 years' experience, TransCanada is a leader in the
responsible development and reliable operation of North American
energy infrastructure including natural gas and oil pipelines, power
generation and gas storage facilities. TransCanada operates a network
of natural gas pipelines that extends more than 68,500 kilometres
(42,500 miles), tapping into virtually all major gas supply basins in
North America. TransCanada is one of the continent's largest
providers of gas storage and related services with approximately 380
billion cubic feet of storage capacity. A growing independent power
producer, TransCanada owns or has interests in over 10,900 megawatts
of power generation in Canada and the United States. TransCanada is
developing one of North America's largest oil delivery systems.
TransCanada's common shares trade on the Toronto and New York stock
exchanges under the symbol TRP. For more information visit:
www.transcanada.com or check us out on Twitter @TransCanada. 
FORWARD LOOKING INFORMATION This publication contains certain
information that is forward-looking and is subject to important risks
and uncertainties (such statements are usually accompanied by words
such as "anticipate", "expect", "would" or other similar words).
Forward-looking statements in this document are intended to provide
TransCanada security holders and potential investors with information
regarding TransCanada and its subsidiaries, including management's
assessment of TransCanada's and its subsidiaries' future financial
and operation plans and outlook. All forward-looking statements
reflect TransCanada's beliefs and assumptions based on information
available at the time the statements were made. Readers are cautioned
not to place undue reliance on this forward-looking information.
TransCanada undertakes no obligation to update or revise any
forward-looking information except as required by law. For additional
information on the assumptions made, and the risks and uncertainties
which could cause actual results to differ from the anticipated
results, refer to TransCanada's Management's Discussion and Analysis
filed February 15, 2012 under TransCanada's profile on SEDAR at
www.sedar.com and other reports filed by TransCanada with Canadian
securities regulators and with the U.S. Securities and Exchange
Commission.
Contacts:
TransCanada
Media Enquiries:
Shawn Howard/Grady Semmens
403.920.7859 or 800.608.7859 
TransCanada
Investor & Analyst Enquiries:
David Moneta/Terry Hook/Lee Evans
403.920.7911 or 800.361.6522
www.transcanada.com