VANCOUVER, BRITISH COLUMBIA--(Marketwire - May 25, 2009) - The quarter ended
March 31, 2009 highlighted continued progress for the offshore wind
energy project that NaiKun Wind Energy Group
Inc. (TSX VENTURE:NKW) is developing in Hecate Strait, off B.C.'s northwest
coast.
NaiKun Wind's major activities and
achievements during the quarter include the following:
- Submission to the BC Environmental Assessment Office on March 16 of
an application for an environmental assessment certificate for the
project. With the application's formal acceptance, the 180-day
application review phase was initiated on May 20. A 45-day period
for public input, which ends on July 12, is part of the review phase. The
Haida Nation is also undertaking a concurrent
environmental review of the project.
- Signing of a limited partnership agreement between NaiKun Wind
wholly-owned subsidiary, NaiKun Wind Operating Inc., and the Council of
the Haida Nation to create a 50/50 partnership that will maintain and
operate the wind project after construction.
- Signing of a Memorandum of Understanding with the Prince Rupert Port
Authority covering important logistical elements for the construction
phase of the project.
- Initiation of NaiKun Wind's process to identify and select a third
equity partner to acquire an ownership position in the project;
consistent with its original plan and the Company's role as a project
developer. Early discussions with potential sources of project
financing will also be conducted.
"NaiKun Wind is pleased to be entering the public-input phase of
the environmental review for our project," said Paul Taylor,
NaiKun Wind's President and CEO. "We are confident that through
the course of the review, we will be able to demonstrate the net
positive effects of the project, with lasting benefits not only for North Coast
communities but also for the entire province of British
Columbia."
In the coming quarter, NaiKun Wind will gather input from First
Nations, local community representatives and the public through the
environmental assessment review. The Company remains committed to
developing the project in a manner that minimizes effects on the
environment while maximizing benefits for local communities.
NaiKun Wind also expects to be advised in the coming months regarding
BC Hydro's selection of the successful proponents in the Clean Power
Call Request for Proposals.
Other milestone events will include the selection of a project and
contract manager and the signing of reservation agreements to secure
the supply of turbines and transmission system elements.
At March 31, 2009, NaiKun Wind had $19.52 million in cash and cash
equivalents, compared to $22.68 at the end of December 2008. Expenditures
in the quarter primarily reflect finalization of the Company's
environmental assessment application.
During the quarter ended March 31, 2009, NaiKun Wind incurred a net
loss of $3.44 million ($0.09 net loss per share), compared to a net
loss of $2.10 million ($0.06 net loss per share) for the same period in
2008.
NaiKun Wind Energy Group Inc. is a British Columbia-based renewable
energy company. The first phase of its project will generate enough
energy to provide electricity to 130,000 B.C. homes, help the province
reach its goal of becoming electricity self-sufficient by 2016, and
play a significant role in combatting climate change. The project will
also create an estimated 200 jobs during construction and 50 permanent
jobs for maintenance and operations. NaiKun Wind is committed to
working in partnership with First Nations and collaboratively with
stakeholder groups and local communities in the development of its
project.
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.
The TSX Venture Exchange does not accept responsibility for the
adequacy or accuracy of this release.
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