CALGARY, Feb. 19, 2013 /CNW/ - Genalta Power Inc. announces an agreement
with Shell Canada to build a power generating facility that will use
the gas that is associated with Shell's Peace River bitumen cold
production. Shell is constructing a pipeline to transport the gas from
pads on the west side of its Cliffdale development (located on a
portion of its Peace River oil sands leases) to the Genalta facility.
The project will combust the produced gas in turbines to generate
electricity and will be capable of generating up to 4 MW (megawatts) of
power -- which is enough to meet the needs of more than 4,800
residential homes in Alberta. The resulting electricity will be sold on
the power grid over the life of the 10-year agreement.
"Genalta is excited to be working together with Shell to create a
produced-gas-to-power project," said Graham Illingworth, Genalta
Power's CEO. "The cost of power is on the rise and the opportunity for
Genalta and Shell to create environmentally friendly power using
produced gas is mutually beneficial."
"Over the last couple of years Shell has implemented a number of
initiatives to reduce the emissions from both our thermal and cold
bitumen production activities," says Peace River Operations Manager,
Bob Blachford. "This latest project will allow a portion of our
Cliffdale gas to be used for a regional benefit, and is consistent with
our goal of not flaring as part of routine operations.
Genalta Power will design, construct, own and operate this power
generation facility. It is forecasted to be completely operational
within the first quarter of 2013.
Shell Canada owns and operates two bitumen production facilities on its
Peace River oil sands leases: the Cliffdale Battery, which uses cold or
primary recovery methods, and the Peace River Complex which uses
thermal or enhanced oil recovery techniques to extract bitumen from
About Genalta Power
Genalta Power is a privately held Canadian corporation in the business
of developing, owning and operating independent power plants that
produce and sell environmentally-friendly electricity from waste and
clean energy sources. Genalta capitalizes on opportunities in the
independent power market by actively pursuing the development of
dependable, cost-effective and environmentally responsible power
generation facilities. Genalta pursues a mix of waste heat recovery,
waste fuel gas, waste pressure and gas to power projects. Genalta is
developing projects in strategic regions of North America with an
emphasis on the oil and gas industry. Visit www.genaltapower.com for more information.
Cautionary Statement Regarding Forward-Looking Information
Certain statements in this news release may constitute "forward-looking
information" or "forward-looking statements" which involve known and
unknown risks, uncertainties and other factors which may cause the
actual results, performance or achievements of the company or industry
results to be materially different from any future results, performance
or achievements expressed or implied by such forward-looking
information. When used in this news release, such information uses such
words as "estimates", "expects", "plans", "anticipates" and other
similar terminology. This information reflects the company's current
expectations regarding future events, including the development,
construction and operation of greenhouse gas based projects and speaks
only as of the date of this news release. Forward-looking information
involves significant uncertainties, should not be read as a guarantee
of future performance or results, and will not necessarily be an
accurate indication of whether or not such results will be achieved. A
number of factors could cause actual results to differ materially from
the results discussed in the forward-looking information. Although the
forward-looking information in this news release is based upon what
management of the company believes are reasonable assumptions, the
company cannot assure investors that actual results will be consistent
with this forward-looking information. This forward-looking information
is provided as of the date of this news release, and, subject to
applicable securities laws, the company assumes no obligation to update
or revise such information to reflect new events or circumstances.
SOURCE: Genalta Power Inc.
For further information:
Genalta Power Inc.
Vice President, Finance
Telephone: (403) 237-9740