July 7, 2008

Earthfirst increases capital cost estimate for Dokie I wind project

On July 4, 2008, EarthFirst Canada Inc. announced that the company has increased the total capital cost estimate for its Dokie I wind project from $325 million to $360 million.

Approximately $22 million of the increase is due to higher-than-anticipated tendered pricing, largely as a result of increased natural gas exploration and other economic activity in the area affecting labor and commodity costs.

The Company notes that the project tendering process is now substantially complete. Construction has already started on the 144MW Dokie I project and completion is scheduled for 2009.

The remainder of the increase comes from raising the contingency allocation from $23 million to $36 million. This change reflects the recommendations of the independent engineer contracted by the senior lenders to the project.

Separately, Garrad Hassan, the company's independent wind consultant, has recently announced changes to the wind energy estimation methodology they are applying to North American wind projects.

As part of this change, Garrad Hassan is reducing its P50 estimate of annual energy production from the Dokie I wind project by 2.3%, from 349.5 to 341.5 GWh/annum.

EarthFirst is a Canadian developer of wind energy projects with a portfolio of over 2,500 MW of potential renewable generating capacity.

An additional 226 MW of fully permitted projects are expected to be tendered into the recently announced BC Clean Power Call.

– RCD Digital Media

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