VANCOUVER, April 1, 2010 /CNW/ - Run of River Power Inc. (TSX-V: ROR) ("ROR Power" or "the Company") today announced it has been selected for an award of an Electricity Purchase Agreement (EPA) with BC Hydro for the Mamquam Power Project, located 70 kilometres northeast of Vancouver.
The 25 MW low-impact hydroelectric project will utilize part of the flow of Skookum Creek to generate green energy for roughly 9,500 homes and will create 140 direct and indirect jobs for local and First Nations communities. When operational, the project will offset approximately 81,396 tonnes of carbon dioxide annually compared to an equivalent coal-fired power plant.
"The selection for award of this EPA is a significant step forward for ROR Power and we are pleased to be a part of BC's emerging leadership in clean, renewable power," said Jako Krushnisky, President and CEO.
Pending approval of the EPA by the BC Utilities Commission, ROR Power will begin the development phase, which involves working with provincial and federal permitting and approval agencies, local communities as well as continuing discussions with its First Nations partners.
The Company is consulting with its financial advisers to determine the most effective strategy to fund the estimated $94 million capital cost to build the project. Construction is scheduled to begin in the second quarter of 2012, with commercial operation set for January 2014. Once completed, Skookum Creek will be the Company's second operating run-of-river power plant in BC.
Further to the Company's March 10, 2010 news release, an additional 50,000 options were granted to a non executive director of ROR Power. The options are exercisable at $0.23 per share and for a term of five years.
About Run of River Power Inc.
ROR Power develops renewable, sustainable energy through its portfolio of run-of-river and biomass projects in British Columbia. The Company operates an Eco Logo(C) certified hydroelectric power generation station at Brandywine Creek, near Whistler, BC that generates cash flow under a 20-year contract with BC Hydro. ROR Power is well positioned for profitable growth through the company's high-quality power generation initiatives. ROR Power's total development potential, in excess of 740 MW, represents a significant opportunity to help BC meet its rising demand for clean, sustainable power and achieve energy self sufficiency by 2016.
Statements in this release which describe Run of River Power Inc.'s intentions, expectations or predictions, or which relate to matters that are not historical facts are forward-looking statements. These forward-looking statements involve unknown risks and uncertainties which may cause the actual results, performances or achievements of Run of River Power Inc. to be materially different from any future results, performances or achievements expressed in or implied by such forward-looking statements. Run of River Power Inc. may update or revise any forward-looking statements, whether as a result of new information, future events or changing market and business conditions and will update such forward-looking statements as required pursuant to applicable securities laws.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
SOURCE Run of River Power Inc.
For further information: For further information: Jako Krushnisky, President and CEO, Tel: (604) 946-9232, firstname.lastname@example.org; Vick Dusik, Chief Financial Officer, Tel: (604) 946-9232, email@example.com