Duluth, Minn.—A 15-year agreement that calls for Minnesota Power to buy carbon-free

hydroelectricity from Manitoba Hydro beginning in 2020 was unanimously approved by the

Minnesota Public Utilities Commission.

The 250 megawatt (MW) power purchase agreement will provide a competitive energy resource

for customers of Minnesota Power, a utility division of ALLETE (NYSE: ALE). Additional hydropower

will support Minnesota Power resource planning goals of more efficiency, flexibility and diversity

while lessening its dependence on coal and lowering emissions from its generation fleet.

“The Commission’s endorsement of this agreement demonstrates that cooperation in energy supply

and transmission planning can cross state and national boundaries in the interest of meeting a

changing North American energy landscape,” said ALLETE Chairman, President and CEO Al

Hodnik.

Manitoba Hydro is a Crown Corporation based in Winnipeg and the province of Manitoba's major

energy utility. Manitoba Hydro produces most of its power from hydroelectric stations in the

northern part of the province, and this agreement facilitates the construction of the Keeyask

Generating Station. This summer Manitoba Hydro announced development of the 695-MW facility

through a partnership with the Keeyask Cree Nations is progressing