NAVAJO NATION LAUNCHES ENERGY COMPANY BY ACQUIRING OWNERSHIP OF NAVAJO COAL MINE

Window Rock, AZ – On December 30, 2013, Navajo Transitional Energy Company, LLC (NTEC) completed its acquisition of the Navajo Mine, located on the Navajo Nation (the Nation), from BHP Billiton Limited and entered into agreements to supply coal to the Four Corners Power Plant through 2031.

NTEC was created in April 2013 as a wholly owned limited liability company of the Navajo Nation to promote and protect the Nation's economic and financial interests. The Navajo Nation established NTEC to acquire and operate the Navajo Mine in order to protect Navajo jobs, preserve the Nation's revenues and sustain the regional and Navajo economy. NTEC is also charged with creating economic opportunity utilizing the Nation's renewable energy and coal resources and to enhance the ability of the Navajo Nation to manage its natural resources for the long term benefit its people and communities.

"The acquisition of the Navajo Mine was an extremely complex undertaking. Throughout the process which lasted over a year, NTEC, the Navajo Nation, BHP Billiton and the Four Corners Power Plant overcame many challenges to bring this project to a successful conclusion. I would like to thank all those who assisted us in this endeavor, especially the leadership of the Nation who embarked on this visionary and historic project," Steve Gundersen, Chairman of NTEC's Management Committee, said after the agreements were executed.

Gundersen added, "By acquiring the Mine, the Nation will be able to exert greater control over the management of its natural resources as both owner and landlord. It is the Nation's vision to become part of the solution to create a cleaner more sustainable world. In support of this vision, NTEC is prepared to assist the Navajo Nation to transition its economy from one based on current coal-fired power generation technologies to one based on clean coal technologies as well as renewable energy."

NTEC's resilience and path forward rippled positive effects throughout the energy and mining industry. One immediate impact of NTECʼs decision to purchase the Navajo Mine, which has been under threat of closure along with the Four Corners Power Plant, will be the preservation of nearly 900 jobs, many of which are Navajo. NTECʼs purchase and operation of the Navajo Mine will also maintain a critical income stream to the Navajo Nation which it uses to provide public services and jobs to the Navajo People.

In addition to the purchase and operation of the Navajo Mine, NTEC will also be responsible for developing opportunities in renewable and sustainable energy resources for the Navajo Nation as well as other technologies such as clean coal that develop the Navajo Nation's energy resources while maintaining respect for the Navajo Nationʼs land, air, water, natural, and economic resources.

On May 18, 2013, the NTEC Management Committee was established with authority for management of the business affairs, operations and functions of NTEC.

According to Gundersen, "Now that NTEC has acquired the Navajo Mine, our immediate objective is to remain a reliable supplier of coal to the Four Corners Power Plant. After assuring that primary objective is achieved, we will look to fulfilling our broader vision by exploring and investing in cleaner coal technologies for the betterment of our environment and to ensure long term development of the coal and other energy resources of the Navajo Nation."

The previous owner of the Navajo Mine, BHP Billiton, will continue as Mine Manager to operate and maintain the coal mine until their contract ends in 2016. With NTEC as the new owner, Navajo Mine will continue to supply coal for the nearby Four Corners Power Plant, which employs hundreds of Navajo workers and generates millions of dollars in revenue each year for the Navajo Nation.

The members and officers of the Management Committee of the NTEC are: Chairman Steven E. Gundersen (Diné), Vice-Chairman Timothy H. McLaughlin (Diné), Secretary Peter Denetclaw, Jr. (Diné), Treasurer Steve Grey (Diné), as well as Dr. Grant R. Wood, Dr. Peter E. Jenkins and Dr. Richard Passamaneck. Dr. John W. Grubb will serve as the NTECʼs Acting Management Committee Executive, Sam Woods (Diné) is the Interim General Manager, and Sean McCabe (Diné) of Anuskewicz & McCabe CPAs is the contracted Interim Chief Financial Officer.

Gundersen also stated that "I am pleased to be surrounded by the talented individuals that comprise the Management Committee and who collectively bring extensive experience in the energy industry as well as the fields of business and engineering."