Public Service Company of Oklahoma to Purchase Capacity and Power from Calpine’s Oneta Energy Center from 2016-2031

  Public Service Company of Oklahoma to Purchase Capacity and Power from
  Calpine’s Oneta Energy Center from 2016-2031

Business Wire

HOUSTON -- September 26, 2012

Calpine Corporation (NYSE: CPN) has agreed to supply electric generation
capacity and power to American Electric Power Service Corporation (NYSE: AEP),
as agent for Public Service Company of Oklahoma (PSO), from Calpine’s Oneta
Energy Center (Oneta) from June 1, 2016, through May 31, 2031.

Under the contract, PSO will purchase 260 megawatts of Oneta’s capacity,
energy and ancillary services. PSO will have the right to dispatch Oneta to
meet its energy needs up to the contracted capacity. Calpine secured the
contract through a competitive process resulting from a request for proposals
that PSO issued earlier this year.

“We are pleased to partner with PSO to provide Oklahomans with power that is
generated locally from cleaner burning natural gas produced in Oklahoma,” said
Thad Hill, Calpine’s Chief Operating Officer. “The highly efficient Oneta
Energy Center is one of the most in-demand assets in Calpine’s fleet. When
this 15-year power purchase agreement takes effect, Oneta’s capacity will be
almost fully subscribed for the balance of the decade at pricing levels that
reflect the tightening reserve margins in the region.”

The clean and modern Oneta Energy Center is located near Tulsa in Coweta,
Oklahoma. This combined-cycle, natural gas-fired power plant is capable of
generating up to 1,134 megawatts of electricity.

PSO is an electric utility company serving more than 530,000 customers in
eastern and southwestern Oklahoma. With headquarters in Tulsa, PSO provides
electricity to 230 cities and towns across a service area encompassing 30,000
square miles.

The contract is conditioned on certain approvals from the Oklahoma Corporation
Commission and on securing satisfactory transmission service.

About Calpine

Calpine Corporation is the largest independent power producer in the U.S.,
with a fleet of 93 power generation plants representing more than 28,000
megawatts of generation capacity. Last year our plants generated more than 94
million megawatt hours of power for our wholesale customers in 20 states and
Canada. Our 91 operating plants as well as two under construction consist
primarily of natural gas-fired and renewable geothermal power plants that use
advanced technologies to generate power in a low-carbon and environmentally
responsible manner. Our modern, clean, efficient and cost-effective fleet
stands ready to respond to the increased need for cleaner and more affordable
power as the economy recovers, as new environmental rules are implemented and
force older, dirtier plants to retire or reduce generation, as variable
renewable power generation from wind and solar grows and with it the need for
flexible natural gas generation to assure firm supply to the grid, and
finally, as natural gas becomes economically competitive with coal as a fuel
for power generation. Please visit to learn more about why
Calpine is a generation ahead - today.

Forward-Looking Information

In addition to historical information, this release contains forward-looking
statements within the meaning of Section 27A of the Securities Act of 1933, as
amended, and Section 21E of the Securities Exchange Act of 1934, as amended.
Words such as “believe,” “intend,” “expect,” “anticipate,” “plan,” “may,”
“will” and similar expressions identify forward-looking statements. Such
statements include, among others, those concerning expected financial
performance and strategic and operational plans, as well as assumptions,
expectations, predictions, intentions or beliefs about future events. You are
cautioned that any such forward-looking statements are not guarantees of
future performance and that a number of risks and uncertainties could cause
actual results to differ materially from those anticipated in the
forward-looking statements. Please see the risks identified in this release or
in Calpine’s reports and registration statements filed with the Securities and
Exchange Commission, including, without limitation, the risk factors
identified in its Annual Report on Form 10-K for the year ended Dec. 31, 2011.
These filings are available by visiting the Securities and Exchange
Commission’s website at or Calpine’s website at
Actual results or developments may differ materially from the expectations
expressed or implied in the forward-looking statements, and Calpine undertakes
no obligation to update any such statements.


Calpine Corporation
Media Relations:
Norma F. Dunn, 713-830-8883
Investor Relations:
Bryan Kimzey, 713-830-8775
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