RNS Number:2077P
International Power PLC
30 August 2003

        International Power Enters Exclusivity with AES Drax Holdings Ltd

(London - 30 August 2003) International Power draws attention to the following
announcement released by AES Drax Holdings today:

AES Drax Holdings Ltd ("Drax") has today announced that, following a period of
intensive discussions with International Power plc ("IPR"), BHP Billiton plc and
Goldman Sachs International, and having noted the letter received yesterday from
MMC, and following discussions with the senior creditors of Drax, it has now
entered into an exclusive arrangement with IPR on the basis of a revised offer
received from IPR yesterday to participate in the restructuring of Drax.

The intention is to finalise the detailed terms of the restructuring in order to
complete the restructuring by the end of this year.

David Crane, CEO of IPR, said: "We are pleased to have advanced to this very
important stage in the restructuring process and we look forward to a successful
conclusion of negotiations.  An interest in Drax represents a good opportunity
for us to create value for the future benefit of our shareholders and all the
stakeholders in Drax."

Gordon Horsfield, Chairman & Director of Drax, commented: "We are delighted with
the level of interest which has been shown by parties wishing to participate in
the restructuring of Drax and the confidence in its long term future which this
implies.  We thank BHP Billiton and Goldman Sachs for their interest, and are
now working expeditiously with International Power in order to conclude the
restructuring as quickly as possible."

Gerald Wingrove, Finance Director of Drax, commented: "We look forward to a
strong ongoing commercial relationship between Drax and International Power,
which we believe will bring significant benefits to both companies."

For further information please contact:

Media Contact:
Aarti Singhal
+44 (0)20 7320 8681

Notes to Editors:

International Power plc is a global independent power producer with interests in
28 power stations in 12 countries around the world.  The Company's net
generation capacity in operation and under construction totals 11,600 MW.  Among
the countries where International Power has facilities in operation are
Australia, the United States, the United Kingdom, the Czech Republic, Oman, the
UAE, Portugal, Turkey, Malaysia, Pakistan, and Thailand. International Power was
created in October 2000 and its shares are traded on the London Stock Exchange,
and as ADRs on the New York Stock Exchange under the ticker symbol "IPR".




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