- Significant relationship with Batchewana First Nation advances the Goulais Wind Project
- First Nation funding sources would reduce Sprott Power's capital requirements for the project and enhances project revenues
- The proposed partnership is mutually beneficial by providing investment and other opportunities to the Batchewana First Nation and its members while being accretive to shareholders of Sprott Power
TORONTO, June 4, 2013 /CNW/ - Sprott Power Corp. (TSX: SPZ) ("Sprott Power" or "the Company"), an owner, operator and developer of renewable energy projects, today announced that it has executed a term sheet with the Batchewana First Nation that would provide Batchewana First Nation with a 49% partnership interest in the 25 MW Goulais Wind Farm located just north of Sault Ste Marie, Ontario. The proposed partnership and business relationship are subject to negotiation of final legal documentation.
The Goulais Wind Farm is a 25-megawatt renewable energy project that will be built along the Mile Hill approximately two kilometers from the end of the current Prince Wind Farm operation in Ontario. Sprott Power, through a subsidiary, has a 20-year Feed-in-Tariff contract with the Ontario Power Authority for the generation of power. It is expected that the Goulais Wind Farm will begin construction in the fall of 2013 and will be operational next summer.
"The addition of the Goulais Wind Farm to the original reserve will provide enhanced opportunities for the First Nation through income-generation, employment and training opportunities as well as business opportunities for Batchewana companies who can provide construction services," said Chief Dean Sayers of the Batchewana First Nation.
"We are very pleased to enter the business relationship with the Batchewana First Nation. Once the arrangements are put in place, we will have a significant and influential local partner for the project while enhancing the value for our shareholders," stated Jeff Jenner, President and CEO of Sprott Power Corp.
About Sprott Power Corp.
Sprott Power is a publicly-traded (TSX: SPZ) Canadian-based company dedicated to the development, ownership and operation of renewable energy projects. Through project development efforts, acquisitions, partnerships and joint ventures, Sprott Power provides its shareholders with income and growth from the renewable power generation sector of the energy industry.
Certain information contained in this press release may constitute "forward-looking information" which reflects the current expectations of Sprott Power. This information reflects Sprott Power's current beliefs with respect to future events and is based on information currently available to management. Forward-looking information involves significant known and unknown risks, uncertainties and assumptions. Many factors could cause actual results, performance or achievements to be materially different from any future results, performance or achievements that may be expressed or implied by such forward-looking information including, without limitation, the risks listed under the heading "Risk Factors" in the Company's Revised Annual Information Form dated April 2, 2013. Should one or more of these risks or uncertainties materialize, or should assumptions underlying the forward-looking information prove incorrect, actual results, performance or achievements could vary materially from those expressed or implied by the forward-looking information contained in this release. Although forward-looking information contained in this release is based upon what Sprott Power believes to be reasonable assumptions, management cannot assure investors that actual results, performance or achievements will be consistent with this forward-looking information. The forward-looking information is made as of the date of this release and Sprott Power does not assume any obligation to update or revise it to reflect new events or circumstances, except as required by law.
SOURCE: Sprott Power Corp.
For further information:
Jeff Jenner, CA, CBV
President and Chief Executive Officer
Sprott Power Corp.
(416) 815 0700 ext. 238