TSX - NRG
OTCQX - ANRGF
CALGARY, May 4 /CNW/ - (TSX: NRG; OTCQX: ANRGF) Alter NRG Corp. ("Alter NRG" or the "Company") is pleased to announce signing of a definitive agreement to construct a demonstration facility and also a letter of intent for licensing and development of future biomass-to-energy projects in the Chinese market. The agreement is with Wuhan Kaidi Holding Investment Co., Ltd ("Kaidi") which expects to construct one facility which can process approximately 50 to 100 tons per day of varying biomass materials before the end of 2010. Alter NRG will receive approximately $1 million CDN in plasma torch orders and engineering services, access to all operational data from the facility and will establish fabrication capacity in the Chinese market through Kaidi.
Mark Montemurro, President and CEO states "This is a significant milestone for our entry into the Chinese market. Kaidi is a respected and leading company that is planning to do multiple projects using our technology in the future and the initial capital investment into the small scale facility is a critical step as the Chinese market adopts technology quickly upon successful demonstration within the Country. It has also been a strategic priority to develop fabrication capacity in the Chinese market for Customers around the world and Kaidi has world-class fabrication capability and local relationships which will help reduce costs for plasma gasification projects."
Kaidi has a stated mandate to be "Devoted to environmental protection for the benefit of humanity" and with approximately 1 billion USD of annual sales they are a leading green energy company in China. Kaidi is a publicly traded company in China with a long history of successfully working with Western Companies. The first small-scale commercial facility will take all types of biomass and waste water sludges unique to the China market and convert it into syngas using the Westinghouse Plasma Corp (a wholly owned subsidiary of Alter NRG) technology and then convert the syngas into biofuels using Kaidi proprietary conversion technology.
Mr. CHEN Yilong, Chairman of Kaidi states that "We are pleased to be working with the Westinghouse plasma solution and believe it provides fuel flexibility for the more than 150 biomass projects that we plan to develop throughout China. We are looking to begin development immediately of a small scale project that can be used as a reference to aggressively build out many larger scale facilities in the near-term."
The Chinese government has aggressive renewable energy mandates and Alter NRG has been meeting with several large energy and power companies throughout the region. Currently, the Chinese government has mandated over $500 billion USD of new construction of waste and biomass energy facilities. Alter NRG is advancing other proposed projects with large scale companies in China and expects to announce further strategic initiatives in the Chinese market for municipal and hazardous waste feedstocks.
Richard Fish, Chief Operating Officer of Alter NRG states "We are very pleased to see the past year's effort result in a definitive agreement with Wuhan Kaidi. Kaidi is a leader in China's growing biomass segment and is a premiere company in the renewable energy sector in China. This initial demonstration facility provides a platform for us to build on and will serve as the basis for a multitude of larger facilities using Westinghouse technology. We anticipate that these solutions will generate revenue of $3 to $10 million per facility. As the Chinese market is aggressively mandating cleaner technology solutions, we are confident of plasma gasification's continued growth and presence.
ABOUT ALTER NRG
Alter NRG is pursuing alternative energy solutions to meet the growing demand for environmentally responsible energy in world markets. The Company's vision is to commercialize growth technologies through environmentally sustainable and economically viable alternative energy projects. The Company's objectives are twofold; First, is to further commercialize the Westinghouse Plasma Gasification Technology, a wholly owned subsidiary, to provide renewable and clean energy solutions from a wide variety of feedstocks, and providing a wide variety of energy outputs - including liquid fuels like ethanol and diesel, electrical power, and syngas; Second, to capitalize on the rapidly growing geoexchange residential and commercial heating and cooling market through a wholly owned subsidiary CleanEnergy that enables consumers to reduce their carbon footprint and reduce the cost and volatility of energy bills using the energy from the earth.
The Toronto Stock Exchange does not accept responsibility for the adequacy or accuracy of this release.
Advisory Respecting Forward-Looking Statements:
This news release contains certain "forward-looking information and statements" within the meaning of specific securities laws. In particular, this new release contains forward looking statements pertaining to capital expenditures, schedules and commencement of operations of existing projects and projects under development; availability of project financing; timing of sales; industry trends; factors influencing capital investments and development activities; the Corporation's reputation and market position within the industries in which it operates and the Corporation's strategy and competitive advantages.
Forward-looking statements require management to make estimates and assumptions with respect to the outcome of future events. These estimates and assumptions could, in the future, turn out to be inaccurate and materially affect the final outcome. The significant estimates and assumptions within the Corporation's forward looking statements include: availability and cost of key materials and labour and availability of funds with respect to the amount of capital expenditures and scheduled commencement of operations; timing of regulatory approval including various permits from federal, provincial, and local authorities; the assessment of capital markets including the availability of debt and equity in current market conditions; commodity prices for electricity, natural gas, coal and other resources that impact the Corporation's operations directly and indirectly; extent of investment by government authorities in infrastructure projects; the financial and operational health of key partners in various projects; the continued development of the Corporation's technology and its use in various applications, and consumer demand for plasma gasification solutions.
Forward-looking statements are frequently characterized by words such as "plan", "expect", "project", "propose", "target", "intend", "believe", "should", "anticipate", "estimate" or other similar words, or statements that certain events or conditions "may" or "will" occur. Forward-looking statements are not based on historical facts but rather on the expectations of management of the Corporation regarding, among other things, the Corporation's future plans and intentions, results of operations, levels of activity, future capital and other expenditures (including the amount, nature and sources of funding thereof), competitive advantages, business prospects and opportunities.
Forward-looking statements reflect management's current beliefs and assumptions, based on information currently available to management. A number of factors could cause actual results to differ materially from the results discussed in the forward-looking statements, many of which are beyond the control of the Corporation. Among the material factors that could cause actual results to differ materially from those indicated by such forward-looking statements are: that the information is of a preliminary nature and may be subject to further adjustment; the completion of strategic partner's projects; arrangements with key suppliers; potential product liability and other claims; other business risks outlined in this news release, including risks associated with the proprietary technology; the possible unavailability of financing at competitive rates and the related effect on development activities; the effect of energy price fluctuations; changes in government regulation, including changes to environmental regulations; the effects of competition; the dependence on senior management and key personnel, and fluctuations in currency exchange rates and interest rates.
The Company cautions that the foregoing list of assumptions, risks and uncertainties is not exhaustive. The forward-looking information and statements contained in this news release speak only as of the date of this news release, and the Company assumes no obligation to publicly update or revise them to reflect new events or circumstances, except as may be required pursuant to applicable securities laws.
SOURCE Alter NRG Corp.
For further information: For further information: Mark Montemurro, President and Chief Executive Officer, (403) 806-3877, firstname.lastname@example.org; Daniel Hay, Chief Financial Officer, (403) 214-4235, email@example.com