China Wind Power Generates 81 GWh of Electricity in Fiscal 2011 and Provides Update on Additional Phases

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

Forward-looking statements

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.

For further information:

Wendell Zhang
Chief Financial Officer
China Wind Power International Corp.
Tel: 416-916-4205
wzhang@chinawindpowerinternational.com
    Philip Dale
Investor Relations
TMX Equicom
Tel: 416-815-0700 ext 253
pdale@equicomgroup.com 

 

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