TORONTO, June 29, 2011 /CNW/ - China Wind Power International Corp. (TSX-V: CNW), an independent wind power producer in China, today
announced an annual production and revenue update on its fully
operational Phase I for the fiscal 2011 year ended March 31, 2011. All
amounts are in Canadian dollars unless otherwise indicated and all
revenue numbers exclude 17% VAT.
"Fiscal 2011 was a watershed year in the Company's development," said
Mr. Jun Liu, Chief Executive Officer, China Wind Power International
Corp. "It was the first full year of operations for Phase I of our
current five phase development and we became profitable in the third
quarter of the first year. We look forward to continuing the
development of the remaining four phases and fully capitalizing on the
potential of our Du Mon County project site, in Heilongjiang Province."
For the 12-month period ended March 31, 2011, the first year of
operations for Phase I of the Company's five phase wind project, China
Wind Power generated and sold 81.0 GWh of electricity and realized
revenue of $6.6 million, surpassing fiscal 2010's annual production of
51.9 GWh and revenue of $3.8 million.
For the fourth quarter of fiscal 2011, the Company generated and sold
21.3 GWh of electricity and realized revenue of $1.7 million compared
to 15.2 GWh of electricity and $1.2 million of revenue for the same
period last year. The fourth quarter was the first in which Phase I was
fully ramped up and operating at planned capacity.
For the first two-months of the first quarter of fiscal 2012, the
Company generated and sold 22.1 GWh electricity and realized revenue of
$1.8 million, already surpassing last year's production of 15.4 GWh of
electricity and revenue of $1.2 million for fiscal Q1 2011. The quarter
over quarter increase in production is consistent with an increase in
wind speeds during the spring months in Du Mon County. Audited
financial statements are expected to be released by the end of July.
Phase II Update
To date, the Company has installed 22 out of the 35 wind turbines
planned for Phase II of the Company's wind project. The remaining 13
wind turbines are expected to be installed by the end of December. The
initial installation delay was due to a postponement of delivery by the
turbine suppliers. As a result of the unavoidable delay of delivery of
the turbines, management has decided to work with the turbine suppliers
to incorporate recent advances in technology such as higher towers and
longer blades into the design of the remaining turbines.
Phase III Update
The Company has received all regulatory and environmental approvals for
the third phase of its five phase wind farm. Phase III will be 198 MW
in size and construction is expected to begin in the third quarter of
the current calendar year. The Company is currently finalizing the
construction and supply agreements for Phase III with a major
international turbine manufacturer and supplier. After Phase III
finishes next year, the Company will have approximately 300 MW wind
farms in production, making it one of the largest independent wind
power producers in China.
About China Wind Power International Corp.
China Wind Power International Corp. is an Ontario company that is
uniquely positioned to capitalize on the growing demand for wind power
in China. The Company indirectly holds the exclusive rights for wind
energy development in Du Mon County, Heilongjiang Province, which has a
demonstrated potential installed capacity of 1,150 MW of wind energy
developable over an area of 612 square km. While 1,150 MW represents
the Company's long-term potential for wind power in the area, its
current plans are for building out approximately 800 MW over five
development phases. The Company's common shares are listed on the TSX
Venture Exchange under the symbol "CNW". The Company has approximately
63.9 million shares outstanding.
For more information and the latest updates on China Wind Power, visit
our investor relations blog at http://chinawindpower.posterous.com or follow us on Twitter at http://twitter.com/ChinaWindPower
Certain statements that are not historical facts made in this press
release may be forward looking statements subject to risks and
uncertainties. Statements containing words such as "will", "could",
"expect", "may", "anticipate", "believe", "intend", "estimate", "plan"
and other similar expressions are forward-looking statements that
represent management's beliefs at the time the statements are made and
are based on certain factors and assumptions including wind farm
construction and commercial production schedule, output and capacity,
revenue and earnings expectations and market potential. These
forward-looking statements are subject to a variety of risks and
uncertainties and other factors that could cause actual events to
differ materially from those projected in forward-looking statements.
Important factors that could cause actual results to differ materially
from the Company's expectations include uncertainties involving the
availability of financing; fluctuations in currency exchange rates;
uncertainties relating to economic and market conditions; uncertainty
of estimates of capital and operating costs; the need to obtain
additional financing to develop the projects and uncertainty as to the
availability and terms of future financing; the possibility of delay in
construction projects and uncertainty of meeting anticipated program
milestones; uncertainty as to timely availability of permits and other
governmental approvals; and other risks and uncertainties disclosed in
the information circular dated November 5, 2010, which is available at www.sedar.com under the Company's profile. Except as required by applicable
securities laws, the Company undertakes no obligation to update any
forward looking statement to reflect events or circumstances after the
date on which such statement is made.
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 China Wind Power International Corp.
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