Roadshow Presentation April 2010 Tonbridge Power Inc. The Waterpark Place 20 Bay Street, 11 th Floor Toronto, ON t: 416.850.2150 f: 416.850.1985 www.tonbridgepower.com 1
Disclaimer This presentation and the preliminary prospectus, including the documents incorporated therein by reference (the “Prospectus”) filed by Tonbridge Power Inc. (the “Corporation”) dated December 11, 2009, contain forward-looking information under Canadian securities legislation. Forward-looking information includes, but is not limited to, information with respect to the completion of the development and construction by the Corporation of the Tonbridge Power Line and the timetable, costs and financing of the Tonbridge Power Line, demand for transmission capacity, supply of transmission capacity, the benefits of the Tonbridge Power Line and any future projects, including Project 2 (as defined in this presentation), currency fluctuations, requirements for additional capital, and government regulation of transmission operations, including the auctioning of capacity and the permitting required for the Tonbridge Power Line and future projects, including Project 2. Generally, forward-looking information can be identified by the use of forward-looking terminology such as “plans”, “expects” or “does not expect”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates” or “does not anticipate”, or “believes”, or variations of such words and phrases or statements that certain actions, events or results “may”, “could”, “would”, “might” or “will be taken”, “occur” or “be achieved” . Forward-looking information is based on the opinions and estimates of management as of the date such statements are made and is based on a number of assumptions and subject to a variety of risks and uncertainties and other factors that could case actual events to differ materially from those projected in the forward-looking information. Many of these assumptions are based on factors and events that are not within the control of the Corporation and there is no assurance that they will prove to be correct. Estimates with respect to the timetable for and completion of the Tonbridge Power Line and any future projects, including Project 2, required government and regulatory approvals for the Tonbridge Power Line and any future projects, including Project 2, the ability to generate revenue, the thermal capacity of the Tonbridge Power Line, the ability to exploit certain operating margins, the reorganization of the electricity industry, future interest rates, capital resources available, the availability of credit-worthy electrical shippers, the use of certain technologies and materials and annual impairment tests, are based on such things as research by the Corporation of capital and operating costs, contracts signed by the Corporation to date, recent estimates of construction and costs, construction estimates and schedules which have been developed by the Corporation’s personnel and independent consultants and reports from counterparties and electrical shippers. Important factors that could cause actual results to differ materially from the Company's expectations are disclosed under the headings “Risk Factors”in the Company’s Prospectus, the Annual Information Form dated April 27, 2009 and the MD&A, all of which are available under the profile of the Company on SEDAR, and elsewhere in documents filed fromtime to time with the Canadian provincial securities regulators. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Corporation to be materially different from those expressed or implied by such forward-looking information, including but not limited to risks related to judicial proceedings, land assembly, technology and materials, wind firming, capital resources, revenue, operating margins, litigation risk, restructuring of electrical industry, competition, annual impairment tests, labour relations, insurance, damage from weather and other disasters, operating and maintenance risks, environmental risks, hazards of high-voltage electricity transmission, counterparty and credit risk, financing arrangements, and other risks relating to the Offering. Although management of the Corporation has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking information. The Corporation does not undertake to update any forward-looking information, except in accordance with applicable securities laws. 2
Energy. Energy. Energy. Wind Solar Biogas Geothermal Hydro 3
Ideal scenario Generation Transmission Consumption 4
Unbalanced delivery New / Remote More No New Transmission Capability Generation Consumption 5
Major hurdle NIMBYISM 30-40 year infrastructure deficit 6
Nimbyism has a price Constant Higher Congestion electricity cost Less stable grid Less renewable generation 7
Independent Transmission Developers 8 8
Powerful opportunity Connecting the Alberta/US grid Demand Generation Gap Alberta: deregulation World-Class Wind No Interconnect between Resource in Montana Alberta and U.S. U.S. Northwest: insufficient RPS capacity Alberta CANADA U.S. Montana 9
MATL: The route Lethbridge CANADA UNITED STATES 345 km 300 MW 300 MW Cut Bank Northbound Southbound 230 kV Great Falls 10
MATL: The progress Fully permitted Lethbridge CANADA UNITED STATES Fully sold Cut Bank Fully funded Great Falls 11
MATL: Fully permitted Pre-permit stage Permits required Fully Permitted Alberta Energy & Utilities Board (AEUB) Other independent transmission National Energy Board (NEB) developers Montana Dept. of Environmental and Quality (MDEQ) US Dept. of Energy (DOE) Utilities Federal Energy Regulatory Commission (FERC) Western Electricity Coordinating Council (WECC) 12 12
MATL: Fully sold 25-Year Take/Pay Average 2.5% (5-Year Option) $5.00/MWh annual escalator Lethbridge Invenergy 180MW CANADA NaturEner UNITED STATES Wind 70MW Hunter Northbound Southbound Cut Bank 300MW WAPA 50MW Blowup of Map w/ 300MW MATL line Great Falls 13 13
MATL: Fully funded Construction funding: 2% $161 Million @ WAPA Regions Sierra Nevada Region CRSP Management Center (WAPA) Upper Great Plains Desert Southwest Region Rocky Mountain Region 14
MATL: Great project economics 25-Year Take/Pay Average 2.5% (5-Year Option) $5.00/MWh annual escalator 10-year fixed price operating and maintenance contract $25M $22M revenues EBITDA 15
MATL: Project timeline Target Milestone 0% 25% 50% 75% 100% Completion 2008 Major Permits Compeletion of Final Design Q2’10 Transmission Q2’10 Substations Q2’10 Ordering of major equipment Pole insertion & construction Q2’11 Transmission Q2’11 Substations System commissioning & Q2’11 line in service 16
Tonbridge Growth Strategy 17 17
Project pipeline Prospect Development Project Size (MW) and and Finance Construct Operate Permitting Feasibility MATL 250 each Upgrade north & south Green 500-1000 each Line north & south 18
MATL upgrade: Being built now 650 MW cable cross-section Lethbridge 100 MW Efficiency Buffer CANADA UNITED STATES MATL Cut Bank 300 MW 250 MW Proposed Upgrade Great Falls 19
MATL upgrade: Attractive economics $15 - $20 Million capital MATL MATL UPGRADE 300 MW 550 MW Regulatory approval Phase shifting transformer 20
Green line: The route Connecting British Columbia Alberta Montana’s wind resource to the Washington Montana Mid-C Hub Mid-Columbia Hub Idaho MATL Colstrip transmission line 500kV Proposed route to Garrison Proposed route to Townsend Garrison interconnect Townsend interconnect 21
Green line: Anchor tenant strategy 1,000 MW cable capacity Anchor Tenant: Gaelectric North America Inc. & Invenergy LLC • 500 MW Take/Pay contract 500MW • Shares in development cost • Receives future transmission credit 350MW 100 MW Unallocated OASIS auction efficiency buffer capacity 50 MW 13% Return on Asset 22
Green line: Anchor Tenants Gaelectric North America Inc. • Focused on assembling large wind power projects in high wind resource areas and supporting grid expansion to deliver power to growing loads and “green power” markets • Part of the Gaelectric group of companies, each active in different fields of renewable power generation and energy storage Invenergy Wind Development LLC • Focused on development, ownership, operation and management of large-scale wind energy generation assets in North America and Europe • Invenergy companies have approx. 2,000 MW of wind projects in operation or construction • Affiliate of Chicago-based Invenergy Wind LLC 23 23
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