NaiKun Wind Provides Additional Details Regarding the Sale of NaiKun Offshore Wind Project

Vancouver, B.C. – March 31, 2020 – NaiKun Wind Energy Group Inc. (TSX-V: NKW) (the “Company” or “NaiKun”) wishes to provide additional details regarding the proposed sale of the NaiKun Offshore Wind Farm (the “Project”) located in the Hecate Strait off the coast of British Columbia, Canada to Northland Power Inc. (TSX: NPI) (“Northland”) (the “Transaction”), as previously announced on March 30, 2020 (the “Initial News Release”). The Transaction constitutes the sale of all or substantially all of the assets of the Company. Unless otherwise defined herein, all capitalized terms used in this press release have the meaning given to them in the Initial News Release.

In connection with the Transaction, management of the Company wish to provide the following details:

• upon successful completion of the Transaction, Northland will be solely responsible for all aspects of the Project’s development, subject only to the Option granted to NaiKun pursuant to the terms of the Agreement;
• NaiKun is unable to provide a dollar value to the Cash Consideration and Cash Distribution at this time, as such consideration is contingent on (i) Northland successfully entering into a power purchase agreement (a “Power Purchase Agreement”) with the relevant authorities in British Columbia, (ii) the size and term of such a Power Purchase Agreement, and (iii) such future Power Purchase Agreements as may be awarded to Northland in the Project area; and
• there is no assurance that a Power Purchase Agreement can be attained in the foreseeable future, however it is the Company’s opinion that the Project is more likely to proceed under Northland’s management given their status and experience as a large Canadian developer, owner, and operator of like projects.

About NaiKun Wind Energy Group Inc.

NaiKun is a British Columbia-based renewable energy company. Located on B.C.’s northwest coast, where the wind resource is one of the strongest and most consistent in the world.

NaiKun Wind Energy Group Inc.
Contact: Michael O’Connor, President and Chief Executive Officer
604-631-4483, moconnor@naikun.ca
Website: www.naikun.ca

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