Vogt Power to Supply Power Plant Equipment to North Carolina Utility

June 9, 2009

Danvers, MA – Vogt Power International Inc. (VPI), located in Louisville, KY, a subsidiary of Babcock Power Inc., based in Danvers, MA, announced today that it has received an order to supply the Heat Recovery Steam Generators (HRSG) for Progress Energy’s Richmond County Energy Complex located south of Hamlet, NC. The combined-cycle plant, fueled primarily by natural gas, will generate approximately 600-megawatts (MW) of electricity using state-of-the-art, environmentally friendly technology.

Vogt Power will supply two (2) auxiliary fired, three pressure level natural circulation HRSGs with Selective Catalytic Reduction (SCR) systems to operate behind Siemens SGT6-5000FD3 gas turbines. The SCR systems will allow the plant to meet strict state emissions guidelines by reducing nitrogen oxides (NOx), which contribute to the formation of urban ozone. The project is a critical part of Progress Energy Carolinas’ ability to meet the growing needs of its Carolinas customers. Current plans call for the power plant to be in service in mid-2011.

“We are pleased that Vogt Power was selected by Progress Energy, a company recognized for its operational excellence, to supply equipment that will provide reliable, efficient clean power for its Carolinas customers” commented Mike LeClair, President of Vogt Power International.

Progress Energy (NYSE: PGN), headquartered in Raleigh, N.C., is a Fortune 500 energy company with more than 21,000 megawatts of generation capacity and $9 billion in annual revenues. Progress Energy includes two major electric utilities that serve approximately 3.1 million customers in the Carolinas and Florida. The company has earned the Edison Electric Institute’s Edison Award, the industry’s highest honor, in recognition of its operational excellence, and was the first utility to receive the prestigious J.D. Power and Associates Founder’s Award for customer service. The company is pursuing a balanced strategy for a secure energy future, which includes aggressive energy-efficiency programs, investments in renewable energy technologies and a state-of-the-art electricity system. Progress Energy celebrated a century of service in 2008. Visit the company’s Web site at www.progress-energy.com.

Babcock Power Inc., www.babcockpower.com, through its subsidiaries, is one of the world’s leading suppliers of technology, equipment, and services to the power generation industry. Babcock Power subsidiary companies include; Vogt Power International Inc. (Louisville, KY), Thermal Engineering International (USA) Inc. (Santa Fe Springs, CA), Babcock Power Environmental Inc., Riley Power Inc. and Babcock Power Services Inc. (Worcester, MA), Boiler Tube Company of America (Lyman, SC), and TEi Construction Services, Inc. (Duncan, SC).