Manitoba Hydro supplies Manitobans with electricity and natural gas, while also exporting hydro electricity to neighbouring provinces and states. Manitoba Hydro has signed a 'term sheet' with Minnesota Power, an Allete Inc unit, to provide 250 megawatts of hydro power over 15 year period starting in 2020.
Minnesota Power and Manitoba Hydro currently operate under a 50 megawatt agreement expiring in 2015. Manitoba Hydro has existing contracts with Xcel Energy of Minnesota including an 'up to' 500 megawatts contract, expired and renewed in 2005. Xcel Energy currently receives 375 megawatts of power under a 10-year contract with Manitoba Hydro.
Manitoba Hydro plans include constructing Keeyask generation station on the Nelson River, about 30 kilometres west of Gillam, Manitoba. Keeyask, a $3.5 billion hydro plant will supply 620 megawatts of energy and involves substantial flooding of lands.