Nevada Power Company and Sierra Pacific Power Company, two wholly-owned subsidiaries of Sierra Pacific Resources (NYSE: SRP), announced today that each has priced its tender offer for any and all of its respective series of General and Refunding Mortgage securities.

Under the terms of Nevada Power's tender offer for its 9% General and Refunding Mortgage Notes, Series G, due 2013 (the "Notes") and assuming a settlement date of June 28, 2007, Nevada Power will pay $1,079.75 plus accrued interest for each $1,000 principal amount of Notes purchased in the offer. This price was determined by reference to a fixed spread of 50 basis points or 0.50% over the yield to August 15, 2008 (the first date on which the Notes are redeemable at a fixed price) based on the bid side price of the 4.125% U.S. Treasury Note due August 15, 2008 as measured today at 2 p.m. New York City time.

Nevada Power's offer will expire at 9 a.m., New York City time, on Friday, June 22, 2007, unless the offer is extended or earlier terminated by Nevada Power. Payment for tendered Notes, plus accrued interest, will be paid for in same-day funds on the settlement date, which is expected to be on or about June 28, 2007. Nevada Power intends to use its previously established private credit facility or the proceeds from the sale of new securities to pay the purchase price for the Notes purchased pursuant to its offer.

Under the terms of Sierra Pacific Power's tender offer for its 8% General and Refunding Mortgage Bonds, Series A, due 2008 (the "Bonds") and assuming a settlement date of June 28, 2007, Sierra Pacific Power will pay $1,022.10 plus accrued interest for each $1,000 principal amount of Bonds purchased in the offer. This price was determined by reference to a fixed spread of 50 basis points or 0.50% over the yield to maturity based on the bid side price of the 4.875% U.S. Treasury Note due May 31, 2008 as measured today at 2 p.m., New York City time.

Sierra Pacific Power's offer will expire at 9 a.m., New York City time, on Friday, June 22, 2007, unless the offer is extended or earlier terminated by Sierra Pacific. Payment for tendered Bonds will be paid for in same-day funds on the settlement date, which is expected to be on or about June 28, 2007. Sierra Pacific Power intends to use a previously established private credit facility or the proceeds from the sale of new securities to pay the purchase price for the Bonds purchased pursuant to the offer.

This press release does not constitute an offer to buy or the solicitation of an offer to sell any of the Notes, Bonds or other securities, described above. Credit Suisse and Goldman, Sachs & Co. have been acting as Dealer Managers for each of the tender offers. Morrow & Co., Inc. is the Information Agent. Requests for documents may be directed to Morrow & Co., Inc. by telephone at (800) 607-0088 (toll-free) or (203) 658-9400. Questions regarding the tender offers may be directed to Credit Suisse at (800) 820-1653 (toll-free) or (212) 325-4008 (collect), or to Goldman, Sachs & Co. at (800) 828-3182 (toll-free) or (212) 902-9077 (collect).

Nevada Power Company is a regulated public utility engaged in the distribution, transmission, generation, purchase and sale of electric energy in the southern Nevada communities of Las Vegas, North Las Vegas, Henderson, Searchlight, Laughlin and their adjoining areas, including Nellis Air Force Base and the Department of Energy's Nevada Test Site in Nye County. Nevada Power provides electricity to approximately 807,000 residential and business customers.

Sierra Pacific Power Company is the principal utility for most of northern Nevada and the Lake Tahoe area of California. Sierra Pacific Power also distributes natural gas in the Reno-Sparks area of northern Nevada. Sierra Pacific Power provides electricity to approximately 361,000 residential and business customers and natural gas to approximately 140,000 residential and business customers.

Headquartered in Nevada, Sierra Pacific Resources is a holding company whose principal subsidiaries are Nevada Power Company, the electric utility for most of southern Nevada, and Sierra Pacific Power Company, the electric utility for most of northern Nevada and the Lake Tahoe area of California. Sierra Pacific Power Company also distributes natural gas in the Reno-Sparks area of northern Nevada.

This press release may contain forward-looking statements regarding the future performance of Nevada Power Company and Sierra Pacific Power Company within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are subject to a variety of risks and uncertainties that could cause actual results to differ materially from current expectations. For Nevada Power, these risks and uncertainties include, but are not limited to, Nevada Power's ability to borrow under its credit facility to pay the purchase price for the Notes, receipt of the final order of the Public Utilities Commission of Nevada on Nevada Power's pending financing authority application, and on Nevada Power's ability to maintain access to the capital markets to finance or refinance (on terms favorable to Nevada Power) the purchase of the Notes. For Sierra Pacific Power, these risks and uncertainties include, but are not limited to, Sierra Pacific Power's ability to borrow under its credit facility to pay the purchase price for the Bonds, receipt of the final order of the Public Utilities Commission of Nevada on Sierra Pacific Power's pending financing authority application, and on Sierra Pacific Power's ability to maintain access to the capital markets to finance or refinance (on terms favorable to Sierra Pacific Power) the purchase of the Bonds. Additional cautionary statements regarding other risk factors that could have an effect on the future performance of Nevada Power and Sierra Pacific Power are contained in the companies' respective Annual Reports on Form 10-K for the year ended December 31, 2006 and Quarterly Reports on Form 10-Q for the quarter ended March 31, 2007, both filed with the Securities and Exchange Commission. Nevada Power and Sierra Pacific Power undertake no obligation to release publicly the result of any revisions to these forward-looking statements that may be made to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.

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SOURCE: Sierra Pacific Resources

CONTACT: media, Andrea Smith, +1-702-367-5843, or analysts, Britta
Carlson, +1-702-367-5624, both for Sierra Pacific Resources

Web site: http://www.sierrapacific.com/