You guys remember this one?
Global Ecology Updates Stockholders on Thermal Solar Energy Project in India
MONTCLAIR, NJ--(Marketwire - March 8, 2011) - Peter Ubaldi, President & CEO of Global Ecology Corporation (OTCQB: GLEC), today issued the following letter to the company's stockholders and the investment community.
"On Friday March 4, 2011, we announced the signing of a Letter of Intent with Esoft Informatics Pvt, Ltd, of Noida, India. The purpose of this agreement is to establish certain parameters for a business venture which will be a partially owned subsidiary; GEC Energy Corporation. This new entity will be 25% owned by Global Ecology Corporation and 75% owned by Esoft and its principals. We have performed the preliminary due-diligence and are satisfied as to the validity of the funding sources that have been engaged by Esoft.
The initial venture for the new subsidiary will be the development of a six megawatt solar power plant, which hopefully will be the first of several throughout India. In addition, Esoft will serve as a distribution partner for our portfolio of products throughout India. We believe that this partnership is an excellent way for our company to establish a footprint in India without having to expend the costs associated with international expansion. We are excited to be part of such an innovative project that is in line with our environmental mission.
We are moving ahead with the preparation of all the operative documents and we are attempting to close this transaction as quickly as possible, however, we can provide no assurances that we will be able to consummate the proposed transaction. Funding for the venture will be the responsibility of Esoft. Global Ecology Corporation will not be required to provide any capital for GEC Energy Corporation. In addition, all fees needed to process the Standby Letter of Credit, Bank Endorsements, Full Bank Responsibility, Swift Transfer from a Prime Bank and Lines of Credit are the responsibility of Esoft. These fees can exceed 15% of the gross loan amount needed to fund the project. There are no upfront costs, including consulting fees, which will need to be advanced by our company.
