Plutonic Power Corporation Signs ecoENERGY Agreement for Funding of the East Toba River Montrose Creek Run-of-River Project
Vancouver, British Columbia –(Feb. 23, 2009) – Plutonic Power Corporation (TSX:PCC) is pleased to announce that the Toba Montrose General Partnership has signed a Contribution Agreement with the Government of Canada for funding of the East Toba River and Montrose Creek Hydroelectric Project under the ecoENERGY for Renewable Power program.Under the ecoENERGY for Renewable Power program, the East Toba River and Montrose Creek Hydroelectric Project will receive a $10 per MWh incentive over the first ten years of operations, in accordance with the terms of the agreement. Net annual electrical generation from the Project is expected to be 726.95 Gwh per year. Payments will commence once the Project is commissioned, which is on schedule for completion in mid 2010.
“The development of clean, renewable energy projects is instrumental in achieving both Federal and Provincial governments’ initiatives on climate change and Federal support through programs like ecoENERGY are important to the industry’s success,” said Plutonic Power Vice-Chair and CEO Donald McInnes.
Once completed, the East Toba River and Montrose Creek Hydroelectric Project, a partnership with GE Energy Financial Services, will potentially displace an estimated 455,000 tonnes of greenhouse gases (GHG) annually. This is the equivalent of taking about 80,000 cars off the road per year or planting about 60,000 hectares of trees. With an estimated capital cost of $660 million, this 196 MW project has been under construction since July 2007 and is on budget and on schedule for commercial operation by mid 2010.
About Plutonic Power Corporation
Plutonic Power’s vision is to provide leadership and create a legacy through the development of renewable, reliable, clean energy. Its proposed Green Power CorridorTM, comprised of 39 facilities, including the flagship $660 million, 196 MW East Toba River/Montrose Creek run-of-river project currently under construction, have the design capacity to generate enough energy to meet the annual needs of about 630,000 homes and create approximately 5,500 person years of employment. Once built, the Green Power CorridorTM could offset an estimated 4 million tons of CO2 emissions every year – the equivalent to taking as many as 650,000 vehicles off the road. Plutonic is committed to working in partnership with First Nations, stakeholder groups and local communities in the development of all its run-of-river projects. By developing its suite of projects, Plutonic Power will help British Columbia realize its goal of becoming electricity self-sufficient by 2016, meet demand utilizing 90% clean domestic generation sources and will play a significant role in the fight against climate change.
Caution Regarding Forward-Looking Statements – This news release contains certain forward-looking statements, including statements regarding the business and anticipated financial performance of the Company. These statements are subject to a number of risks and uncertainties. Actual results may differ materially from results contemplated by the forward-looking statements. When relying on forward-looking statements to make decisions, investors and others should carefully consider the foregoing factors and other uncertainties and should not place undue reliance on such forward-looking statements. The Company does not undertake to update any forward looking statements, oral or written, made by itself or on its behalf.
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