Press Releases

19/09/2006

International Power acquires 140MW Indian Queens plant, UK from AES for £32 million

(London – 19 September 2006) International Power announces that it has acquired the 140MW oil fired OCGT Indian Queens peaking plant in Cornwall, England from AES for £32 million plus working capital.

Steve Riley, Executive Director – Europe, said “We are pleased to have acquired Indian Queens, a modern and flexible peaking plant which is an excellent fit with our existing portfolio in the UK market. Our experience in the balancing and reserve markets, in which Indian Queens operates, will enable us to create additional value from this acquisition.”

The acquisition of Indian Queens, which is expected to be earnings and cash flow enhancing in the first full year of ownership, will be funded from current liquid resources.

For further information please contact:

Investor Contact:	Media Contact:
Aarti Singhal	Andrew Mitchell
Telephone: +44 (0)79 8949 2447	+44 (0)20 7251 3801

Notes to Editors

The Indian Queens station became operational in 1996.

International Power plc is a leading independent electricity generating company with 17,884 MW (net) in operation and 1,119 MW (net) under construction. International Power has power plants in operation or under construction in Australia, the United States of America, the United Kingdom, the Czech Republic, Italy, Portugal, Spain, Turkey, Bahrain, Oman, Qatar, Saudi Arabia, the UAE, Indonesia, Malaysia, Pakistan, Puerto Rico and Thailand. International Power is listed on the London Stock Exchange and the New York Stock Exchange (as ADRs). The ticker symbol on both stock exchanges is "IPR".