MPX Power Generation at Rio Grande do Sul

MPX Signed a Memorandum of Intentions for the Installation of UTE Seival II

RIO DE JANEIRO, BRAZIL -- (MARKET WIRE) -- 02/27/08 -- MPX Energia S.A. (BOVESPA: MPXE3), the company with nine power generation projects under development consisting primarily of coal-fired thermoelectric plants, with a totally integrated concept and strategically located at the main ports and super ports in Brazil and Chile, announces that it has signed today a Memorandum of Intentions with the Government of Rio Grande do Sul State for the installation of UTE Seival II.

The total investment in the project will be approximately US$ 1.4 billion. The total capacity of the plant will amount to 600 MW and the coal supply will be provided by Seival Mine, in which MPX has a stake of 70%.

During the construction, MPX will create approximately four thousand jobs, directly and indirectly. After the start up, the plant will promote about 1.250 direct and indirect jobs.

For additional information, please contact: Andrea Pereira Phone + 55 21 2555-5279

2008-02-27 20:10:37 0300186 MARKETWIRE