Singapore

Temasek Holdings ("Temasek") has begun the process of divesting its wholly-owned Singapore power generation companies; namely, PowerSeraya Ltd, Senoko Power Ltd and Tuas Power Ltd ("the gencos").

Tuas Power, with a total licensed and generation capacity of 2,670 MW, will be the first genco to be sold. The divestment will be carried out through a trade sale. Temasek expects to complete the transaction by the end of the first quarter of 2008. The remaining two gencos will be divested sequentially after the sale of Tuas.

Mr Wong Kim Yin, Managing Director of Investment at Temasek Holdings, said, "Singapore has a well established electricity market structure and an open and transparent regulatory framework. At the same time, economic growth is expected to remain healthy over the longer term, which will translate into strong demand for electricity."

Mr Wong added: "Tuas Power is a well-run and efficient company with stable cash flows and good growth. In addition, the company is led by an experienced management team. These are factors that are appealing to investors and we expect to receive competitive offers for Tuas."

Tuas Power's assets include 1,200 MW of oil-fired steam turbine plants and 1,470 MW of gas-fired combined cycle plants. The genco sells all of its electricity output into the National Electricity Market of Singapore - a competitive wholesale electricity market - and accounted for approximately 26.1% of Singapore's electricity generation units sold in 2006. For the year ended 31 March 2007, the company had revenues of S$2.28 billion and net profit of S$177 million.

About Temasek Holdings

Incorporated in 1974, Temasek Holdings is an Asia investment firm headquartered in Singapore. Supported by affiliates and offices around Asia, it manages a diversified S$164 billion (US$108 billion) portfolio, concentrated principally in Singapore, Asia and the OECD economies.

The Temasek portfolio spans various industries including telecommunications & media, financial services, real estate, transportation & logistics, energy & resources, infrastructure, engineering & technology as well as bioscience & healthcare.

Temasek's total shareholder return since inception in 1974 has been more than 18% compounded annually. It has a corporate credit rating of AAA/Aaa by rating agencies Standard & Poor's and Moody's respectively.

For further information on Temasek please visit www.temasekholdings.com.sg.

Temasek Holdings
Mark Lee
Director, Corporate Affairs
Tel: (65) 6828 6509
E-mail: marklee@temasek.com.sg

Weber Shandwick
Ivan Tan
Senior Vice President
Weber Shandwick (for Temasek Holdings)
Tel: (65) 6825 8027
Email: itan@webershandwick.com