Climate Change and Disclosure
Potential Sale of ACH and Timber and Water Rights.
and
Potential from Bio-Mass, as identified by Deloitte Consulting L.P.
Example:
We, a group of Shareholders, who hold a minuimum of 5% of the AbitibiBowater stock would wish to make an offer to purchase all of the Timber and Water rights from AbitibiBowater for 1 cent.
In the past they have deemed these assets worthless, so we are pleased to offer them more than zero for them.
IMO -- "disclosure" is the real issue.
SECURITIES AND EXCHANGE COMMISSION 17 CFR PARTS 211, 231 and 241 [Release Nos. 33-9106; 34-61469; FR-82] Commission Guidance Regarding Disclosure Related to Climate Change AGENCY: Securities and Exchange Commission. ACTION: Interpretation. SUMMARY: The Securities and Exchange Commission (“SEC” or “Commission”) is publishing this interpretive release to provide guidance to public companies regarding the Commission’s existing disclosure requirements as they apply to climate change matters. EFFECTIVE DATE: February 8, 2010.
FOR FURTHER INFORMATION CONTACT: Questions about specific filings should be directed to staff members responsible for reviewing the documents the registrant files with the Commission. For general questions about this release, contact James R. Budge at (202) 551¬3115 or Michael E. McTiernan, Office of Chief Counsel at (202) 551-3500, in the Division of Corporation Finance, U.S. Securities and Exchange Commission, 100 F Street, NE, Washington, DC 20549.
IV. Climate change related disclosures
In the previous section we summarized a number of Commission rules and regulations that may be the source of a disclosure obligation for registrants under the federal securities laws……..
A registrant should not limit its evaluation of disclosure of a proposed law only to negative consequences. Changes in the law or in the business practices of some registrants in response to the law may provide new opportunities for registrants. For example, if a “cap and trade” type system is put in place, registrants may be able to profit from the sale of allowances if their emissions levels end up being below their emissions allotment. Likewise, those who are not covered by statutory emissions caps may be able to profit by selling offset credits they may qualify for under new legislation.
70
See
1989 Release.
71 Management should ensure that it has sufficient information regarding the registrant’s greenhouse gas
emissions and other operational matters to evaluate the likelihood of a material effect arising from the subject
legislation or regulation. See n. 62, supra.
72 In 2003 we issued additional guidance with respect to how registrants could improve MD&A disclosure,
including ideas about how to focus on material issues and how to present information in a more effective
manner to be of more value to investors. See 2003 Release.
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On November 3, 2010, NewPage completed the sale of certain assets of the NewPage Port Hawkesbury mill in Nova Scotia, Canada to Nova Scotia Power Inc. for creation of a 60-megawatt biomass co-generation facility for approximately CDN $80 million. “The proceeds from the asset sale of the Port Hawkesbury biomass project will enhance year-end liquidity,” added Prystash.
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St. Marys Paper co-generation plant is a go
November 9th, 2010 | Posted in Biomass No comments »
St. Marys Paper and the province of Ontario have reached a 10-year, 30 megawatt Power Purchase Agreement (PPA) that will enable the company to build a $175 million biomass fueled co-generation plant, creating 555 jobs in Sault Ste. Marie.
The plant will generate enough power to operate the mill and excess energy will be distributed to the provincial electricity grid.
The construction of the new biomass fueled co-generation plant will create 400 jobs and, once complete, the facility will employ 30 people and create an additional 125 jobs for workers collecting biomass fuel.
The co-generation plant will replace the paper mill’s aging boilers and allow biomass to be used as fuel in new state-of-the-art boilers, which are the first of their kind in Ontario and will decrease green house gasses.
“The provincial government’s support for a power purchase agreement is extremely important to the long-term viability of St. Marys Paper as it allows the mill to build a biomass co-generation plant that will provide a self-sustaining supply of energy that helps protect local jobs,” said Dennis Bunnell, CEO and board chair of St. Mary’s Paper. “Building a biomass co-generation plant will strengthen the local economy by creating 555 short-term and long-term jobs in the Sault and Algoma region and, once complete, allow the mill to more effectively transition to the bio-sector.” ?
Today’s agreement is in addition to a recent funding announcement for an $8.8 million re-payable loan from the province’s Ministry of Northern Development, Mines and Forestry (MNDMF), which will enable St. Marys Paper to re-open and resume printing production in December, 2010.
In 2007, the Ontario government provided St. Marys with a loan of over $17 million for working capital to restructure and re-open, which brings total provincial support for the paper mill to $25.8 million.
Source: David Orazietti, MPP for Sault Ste. Marie
