Feasibility study apparently sells the deal to banks. That's my opinion.
VIASPACE CEO, Dr. Carl Kukkonen, stated, "We are pleased that the Pelican SA feasibility study has formally validated the technical and business case for our Energia Reino Verde power plant integrated with the Giant King® Grass plantation. We believe that we have all of the bases covered and the potential risks have been mitigated.
•we are growing our own Giant King® Grass and not depending on third parties for fuel
•irrigation from Lake Nicaragua will be used during the dry season
•rice husk and rice straw from the 7,000 acre Miramontes rice plantation and mill are available as backup fuel sources.
•AGRICORP, the VIASPACE partner and one of the largest companies in Nicaragua is extremely experienced in agriculture
•the power plant and plantation are co-located for simple and cost effective logistics
•the EPC contractor has worldwide experience
•the boiler technology is well proven
•the power plant operator is very experienced in Nicaragua
•the project rate of return is acceptable for financing
•Nicaraguan partners will be equity investors and have a vested interest in our success"
Kukkonen continued, "The Energia Reino Verde power plant project will produce 84GWh of saleable renewable and low carbon electricity per year for a project life of 25 years. This will be a flagship project and VIASPACE plans to replicate similar projects worldwide."
VIASPACE Chairman, Dr. Kevin Schewe, commented, "VIASPACE Inc. (VSPC) and investors and executives of Agricorp are the project developers and equal shareholders in Energia Reino Verde. Equity investors will also be shareholders. All future profits from Energia Reino Verde will accrue to VIASPACE proportional to VIASPACE's ownership. In addition, VIASPACE will receive Giant King Grass license revenues from Energia Reino Verde as the Giant King Grass is harvested to fuel the power plant during the 25 year project life. This is the preferred business model that VIASPACE seeks to develop with its renewable energy power plant partners."
