Phase I

Acquisition and installation of a new state of the art boiler containing environmentally sound and efficient pollution control systems and computerized operating mechanisms. Replacement of Pyramid Mountain Lumber's 50+ year old boiler is essential to maximize efficient production of heat, steam, and electricity from Co-Generation Plant in Phase II.

Project Cost - $3,000,000

Cost Share at 50%

• Appropriations: $1,500,000
• Pyramid Match: $1,500,000

Specifications: 40,000 lb. boiler

Timing: Acquisition and Installation by 9/30/08

Phase II

Acquisition and installation of 3.2 Megawatt Co-Generation Facility on approximately 2 acres at the Pyramid Mountain Lumber, Inc. site in Seeley Lake, Montana. Facility designed to be slightly larger than anticipated energy needs for Pyramid Mountain Lumber, Inc. sawmill. .

Project Cost - $4,000,000

Cost Share at 25%

• Appropriations: $3,000,000
• Pyramid Match: $1,000,000

Specifications: 3.2 Megawatt

Timing: Acquisition and Installation by 9/30/10