November 7, 2008

Enel Announces Agreements With Inter RAO UES and Russian Railways

Italian utility Enel has signed agreements with Inter RAO UES to co-operate on projects in the energy sector both in Russia and other countries, and with the Russian Railways for the long-term supply of market-indexed electricity, consolidating their existing relationship.

Under the terms of the memorandum of intent (MoI) between Inter RAO UES and Enel, a joint team will be formed to analyze possible development projects.

Enel is already the main supplier of power to the Russian Railways (RZhD) through RES, the joint venture between Enel and its Russian partner ESN. Under the terms of the MoI with RZhD, electricity supply can be extended on a long-term basis with increasing volumes.

Part of the electricity to be supplied will be generated by OGK-5, the generation company controlled and managed by Enel, thereby strengthening the industrial integration among Enel's various activities in Russia.