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EDMONTON, Alberta – March 17, 2011 – Capital Power Corporation (TSX: CPX) (“Capital Power”) announced today that it has completed its previously-announced sale of 8,100,000 common shares of Capital Power on a bought deal basis at an offering price of $24.90 per common share.

The underwriters have an option to purchase up to an additional 1,215,000 common shares at $24.90 per common share to cover over-allotments. The over-allotment option is exercisable, in whole or in part, at any time up to 30 days after today’s closing.

The common shares have not been registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States or to, or for the account or benefit of, U.S. persons absent registration or an applicable exemption from registration requirements. This news release does not constitute an offer to sell or the solicitation of an offer to buy any security, and shall not constitute an offer, solicitation or sale of the securities in any state in which such offer, solicitation or sale would be unlawful.

About Capital Power Corporation
Capital Power is a growth-oriented North American independent power producer, building on more than a century of innovation and reliable performance. The Company’s vision is to be recognized as one of North America’s most respected, reliable and competitive power generators. Headquartered in Edmonton, Alberta, Capital Power has interests in 32 facilities in Canada and the U.S. totaling nearly 3,800 megawatts of generation capacity. Capital Power and its subsidiaries develop, acquire and optimize power generation from a wide range of energy sources. The company’s web site can be accessed at www.capitalpower.com.