Finavera Renewables: Majority interest sold
Finavera Renewables Inc. is pleased to announce that it has signed a series of agreements for the co-development of the 105 megawatt ("MW") Cloosh Valley Wind Project in County Galway, Ireland. Finavera Renewables has signed an agreement with SSE Renewables (Ireland) Limited, the Republic of Ireland renewables development division of Scottish and Southern Energy ("SSE"), the UK energy company which previously acquired Irish wind energy company Airtricity, to sell a majority interest in its wholly owned Gate 3 grid connection from Eirgrid to SSE for €8.4 million. The €8.4 million consideration is payable in staged payments.
Finavera Renewables has also signed a Co-Development Agreement ("CDA") with SSE and Coillte, the state owned commercial forestry and renewables company, to jointly develop the Cloosh Valley project. Coillte is the landowner at the project site and has been a development partner on the project with Finavera since 2009. Finavera will retain a 10% equity interest in the project and will participate in all project development functions and activities.
Finavera Renewables CEO Jason Bak said, "We are delighted to be partnering with Scottish and Southern Energy and Coillte on the development of the Cloosh Valley Wind project. SSE brings significant development, construction, and operating experience to this project. The strength of the development team now behind the Cloosh Valley project illustrates the value of this project, which has some of the best available wind resources in Europe. We now have the right team and a clear path to construction and full operation of the Cloosh Valley project."
About the Cloosh Valley Wind Project
The Cloosh Valley Wind Project has nameplate capacity of up to 105MW and has received a Gate 3 Node Assignment from Eirgrid. The wind resource at the Cloosh Valley project is among the strongest in Europe. The project capacity of 105MW would exceed all current onshore wind farms in Ireland and would provide enough electricity for approximately 68,000 homes.
About Scottish and Southern Energy (SSE)
SSE is one of the UK and Ireland's leading energy companies. Its core purpose is to provide the energy people need in a reliable and sustainable way. It is involved in the generation, transmission, distribution and supply of electricity; energy trading; the development of major renewable energy projects; the extraction, storage, distribution and supply of gas; electrical and utility contracting; and telecoms. SSE owns just over 11,300MW of electricity generation capacity, including its share of joint ventures and associates. This makes it the second largest electricity generator across the UK and Ireland. The capacity comprises 4,590MW of gas- and oil-fired capacity, 4,370MW of coal-fired capacity (with biomass 'co-firing' capability), and 2,370MW of renewable capacity.
Coillte is a commercial company operating in forestry, timber panel products, land based businesses and renewable energy.Coillte employs 1,000 people and owns over 445,000 hectares of land, about 7% of the land cover in Ireland.
Jason Bak, CEO
About Finavera Renewables Inc. (www.finavera.com)
Finavera Renewables' objective is to become a major renewable and green energy producer by developing and operating its assets in the wind sector.
Finavera Renewables is developing wind energy projects in Canada and Ireland. In British Columbia, Canada, projects totaling 301 MW have been awarded Electricity Purchase Agreements under the BC Hydro Clean Power Call. In Ireland, one pre-construction wind project is under development with a potential capacity of 105MW. Data collection and environmental studies have been continuing at a number of sites in both countries.
Statements in this news release, other than purely historical information, including statements relating to the Company's future plans and objectives or expected results, constitute Forward-looking statements. The words "would", "will", "expected" and "estimated" or other similar words and phrases are intended to identify forward-looking information. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the Company's actual results, level of activity, performance or achievements to be materially different than those expressed or implied by such forward-looking information. Such factors include, but are not limited to: uncertainties related to the ability to raise sufficient capital, changes in economic conditions or financial markets, litigation, legislative or other judicial, regulatory and political competitive developments and technological or operational difficulties. Consequently, actual results may vary materially from those described in the forward-looking statements.
SVP Business Development