CPN Calpine Corp.

ATLANTA, Aug. 15 /PRNewswire-FirstCall/ -- NewSouth Energy LLC has announced an agreement for the Acadia Energy Center to supply Cleco Power LLC (Cleco) with 200 megawatts of power for one year beginning in January 2006. The agreement will provide Cleco's customers with a cost-competitive supply of clean, reliable electricity. NewSouth Energy is responsible for managing a network of nearly 6,000 megawatts of modern, gas-fired power plants in the Southeast United States, of which approximately 1,100 megawatts is dedicated to serving the Louisiana power market. Cleco Power, serving more than 260,000 customers across Louisiana, is the regulated utility of Cleco Corp. (NYSE:CNLPCX:CNL). "Electricity is a vital product, and we value Cleco's confidence in NewSouth Energy's ability to meet its growing energy needs in a dependable and environmentally responsible manner," said Tim Eves, vice president of marketing and sales for NewSouth Energy. "We are committed to working with Cleco in developing new opportunities to ensure their customers continue to benefit from new and diversified energy resources to improve reliability and lower the cost of electricity." NewSouth Energy reported that under the agreement between Cleco Power LLC and Calpine Energy Services, L.P., the Acadia Energy Center will deliver electricity from January 1, 2006 through December 31, 2006. The contract is pending final approval by the Louisiana Public Service Commission. The 1,092-megawatt Acadia Energy Center, located just south of Eunice, La. in Acadia Parish, entered operations in August 2002. The power plant generates electricity using natural gas-fired combustion turbines in combination with a steam turbine, making it up to 40-percent more fuel-efficient than older-technology plants. And the plant emits 93-percent less smog-producing nitrogen oxides that the average U.S. fossil-fueled power plant. About NewSouth Energy NewSouth Energy LLC, headquartered in Atlanta, Ga., serves wholesale power customers in all or parts of Alabama, Arkansas, Florida, Georgia, Louisiana, Mississippi, North Carolina, South Carolina, Tennessee, Texas, and Virginia. NewSouth Energy is a subsidiary of Calpine Corporation (NYSE:CPN). The company offers a wide range of cost-effective and environmentally responsible power generation, energy products and services. NewSouth Energy also has locations in Flora, Miss.; Tampa, Fla.; and Houston, Texas. This news release discusses certain matters that may be considered "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, including statements regarding the intent, belief or current expectations of Calpine Corporation ("the Company") and its management. Prospective investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve a number of risks and uncertainties that could materially affect actual results such as, but not limited to, (i) the timing and extent of deregulation of energy markets and the rules and regulations adopted on a transitional basis with respect thereto; (ii) the timing and extent of changes in commodity prices for energy, particularly natural gas and electricity; (iii) commercial operations of new plants that may be delayed or prevented because of various development and construction risks, such as a failure to obtain the necessary permits to operate, failure of third-party contractors to perform their contractual obligations or failure to obtain financing on acceptable terms; (iv) unscheduled outages of operating plants; (v) a competitor's development of lower cost generating gas-fired power plants; (vi) risks associated with marketing and selling power from power plants in the newly-competitive energy market; (vii) other risks identified from time-to-time in the Company's reports and registration statements filed with the SEC, including the risk factors identified in its Annual Report on Form 10-K for the year ended December 31, 2004 and Quarterly Report on Form 10-Q for the quarter ended June 30, 2005, which can also be found on the Company's website at http://www.calpine.com/. All information set forth in this news release is as of today's date, and the Company undertakes no duty to update this information. DATASOURCE: NewSouth Energy LLC CONTACT: Tom Allen of NewSouth Energy, Vice President, +1-404-461-5030, Karen Bunton, Investor Relations: +1-408-995-5115, ext. 1121 Web site: http://www.calpine.com/

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