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28 August 2006 -- Direct Energy, the third-largest competitive electric retailer in Texas, has signed a 10-year agreement with AES Corporation's (AES) Buffalo Gap Wind Farm 2 to purchase the output and associated renewable energy credits (RECs) from the 233 MW project being built by AES in West Texas.

This is Direct Energy's third utility-scale wind power contract in Texas. Direct Energy has other projects in the state, including a previously announced 15-year power purchase agreement for 120 MW from AES's original Buffalo Gap Wind Farm located near Abilene, Texas. The Buffalo Gap 2 expansion is being developed adjacent to the original wind farm by AES, who will also manage and operate it after it achieves commercial operation, which is expected during the summer of 2007.

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