Wind Works Power Corp. signed two agreements with Zero Emission People LLC. The first is a Joint Venture Agreement relating to two wind energy projects totaling 20 megawatts located in Ontario, Canada. The second is an Option Agreement whereby Wind Works has the right to acquire up to a 100% interest in an additional 400 megawatts of wind energy projects over the next 12 months.
Under the joint venture agreement, Wind Works will initially hold a 50% interest in the Joint Venture, and will have the right to increase its equity stake to a 100% interest by meeting certain milestones.
The first is a Joint Venture Agreement relating to two wind energy projects totaling 20 megawatts located in Ontario, Canada. The second is an Option Agreement whereby Wind Works has the right to acquire up to a 100% interest in an additional 400 megawatts of wind energy projects over the next 12 months.
Joint Venture agreement:
Wind Works will initially hold a 50% interest in the Joint Venture, and will have the right to increase its equity stake to a 100% interest by meeting certain milestones. Highlights of the two Joint Venture projects include:
· Snowy Ridge Wind Park – A 10 MW project in the vicinity west of the village of Bethany, Ontario. The project has been developed in an area of high elevation that can optimize the wind resources to their maximum. Annual mean wind speeds are measured at over 6.7 metres per second at an 80 metre hub height.
· Grey Highlands Zero Emission People Wind Park – A 10 MW project 25kms south of Georgian Bay, Ontario, which is a superb location for wind resource, as the area benefits greatly from the westerly winds crossing from Lake Huron. Annual mean wind speeds are measured at over 6.5 metres per second at an 80 metre hub height.
· Both projects have been in development for over 20 months and have a potential investment value of $60 Million once built. Each project has completed the technical connection and transmission assessments from the LDC HydroOne. Land Options and Lease Agreements are in place for over 1,500 acres with private landowners for the construction and operation of the wind parks. Turbine locations, access, and transmission routes are well into development and full resource assessments are to commence in weeks. Both projects publicly announced the Notice of Commencement for the Ministry of Environment’s Environmental Screening Review and have held their first public consultation. The timeline for submission of the final report to the Ministry of the Environment is expected shortly. Both projects will submit applications for the Ontario Power Authority’s Feed-in-Tariff Power Purchase Contracts immediately after the launch of the new increased tariff, expected by the end of September 2009. The power purchase contract is a fixed tariff $ 0.135 CDN per kWh for a 20-year term.
Option agreement:
The Option agreement stipulates that Wind Works will have the right to acquire up to a 100% interest in an additional 400 megawatts of wind energy projects from Zero Emission People over the next 12 months. These projects will be located in Canada, the United States, and Europe and represent a potential value of $3.6 Billion over the 20-year life of the respective Power Purchase Contracts.
Cam Birge, President commented, “I am looking forward to working with Zero Emission People. They have a tremendous track record in developing wind energy projects from the grass roots level through to operations and maintenance. In addition, they are backed by SeeBa Energy Farming Gmbh, one of the leading wind developers in Europe. SeeBa Energy Farming has successfully developed more than 900 wind turbines with an accumulated capacity of more than 1400 megawatts around the world. This joint venture is the starting point for a much larger, more significant relationship that will grow over time. We are excited to be able to enter into an agreement for two, advanced-stage wind energy developments, and look forward to adding a minimum of 400 megawatts of wind energy projects over the coming months. Our objective is to become the leading wind energy developer in North America.”
Wind Power
Wind. It’s clean (wind power generates absolutely no greenhouse gases). It’s renewable. And it involves no production decline curve. Hence, 30 years from now we won’t be worrying about "Peak Wind" theories coming to fruition.
It also can’t be hoarded by power hungry cartels. In fact, enough of it exists to satisfy global demand seven times over, according to a Stanford University study. North Dakota alone has enough of it to meet 25% of U.S. demand.
But perhaps most importantly, it’s finally coming of age. Just consider:
* From 2000 to 2007, the size of the wind power industry increased fivefold.
* Last year, records were shattered with $36 billion in total global wind investments with the United States leading the way with $9 billion.
* In the next 10 years, the wind industry is expected to quadruple in size.
Hands down, wind is the fastest growing source of power. But can such growth continue?
The Department of Energy and countless other studies and industry experts say it will. But are they being realistic? Absolutely – and here’s why
Wind Power Makes Economic Sense
First and foremost, wind power makes economic sense. If the price of oil drops to $50 a barrel, the economics still work; even without government subsidies.
You see, wind can be used to generate electricity for 6 to 8.5 cents per kilowatt-hour.
For comparison’s sake, the cost of nuclear power runs about 15 cents per kilowatt-hour. Coal now costs north of 10 cents (without factoring in carbon capture and storage). And gas-fired power costs approximately 12 cents.
Keep in mind, too, that just a few years ago, wind costs rested north of 15 to 20 cents. But today, costs are low enough in some markets to compete with conventional power generation methods. And future advancements will make wind power even cheaper.
Look no further than Denmark. It already generates 20% of its total electrical output from wind. And Spain, Portugal and Germany boast similarly impressive penetration rates of roughly 12%, 10% and 7%, respectively.
The timing couldn’t be more perfect, either. While wind energy costs are dropping, costs for competing technologies – coal, nuclear and gas – are headed in the opposite direction.
Opportunity in Canada
The Kyoto Accord signed by Canada requires that the Federal Government mandate reductions in greenhouse gas emissions to be below 1990 levels. Since 1990 Canada’s C02 emissions have increased by 20%! Ontario’s policy to close coal fired generating plants by 2015 replacing this power with wind will reduce C02 emissions into the atmosphere by 40%. The first closing occurred in Mississauga, June 2005
Canada, with its size and one of the best wind resources in the world has lagged behind until now. The Federal Government has expanded its ecoENERGY Grant of $0.01 / KWh of production to 4,000 MW.
Ontario, who was behind Alberta, Saskatchewan and Quebec is catching up to offset being out of power at peak periods when it is forced to buy electricity at $0.14 to $0.22 per KWh from NY, Michigan and Quebec.
In October 2008, Canada’s largest wind farm, the Melancthon Eco Power Centre near Shelburne, Ontario came on line with 133 turbines, and since that time 800 MW of projects have come on line and the Ontario Minister of Energy, Hon. George Smitherman, has directed the Ontario Power Authority to revise its business plan to procure MORE that the originally authorized 2,000 MW of renewable wind energy by 2015.
In a recent announcement Hon. Smitherman indicated that through the new Green Energy Act, to be introduced in the first quarter of 2009, that the Province was moving toward more rapid deployment by removing regulatory barriers and replacing the RFP process with a “Feed-in Tariff”, the same model that has created 72,000 new wind industry jobs in Germany since 1995.
Canada only had 684 MW in operation in 2005. As of Dec 12, 2008 Canada has 1,770 MW of wind energy production, plus 2,000 MW in Quebec, 1,500 MW in Ontario, and 170 MW in British Columbia under construction. With a CanWEA goal of 10,000 MW by 2015, the industry will offset lost auto manufacturing jobs by employing 11,000 people.
Wind Works – Zero Emission People Joint Venture Project
* Snowy Ridge Wind Park – A 10 MW project in the vicinity west of the village of Bethany, Ontario. The project has been developed in an area of high elevation that can optimize the wind resources to their maximum. Annual mean wind speeds are measured at over 6.7 metres per second at an 80 metre hub height.
* Grey Highlands Zero Emission People Wind Park – A 10 MW project 25kms south of Georgian Bay, Ontario, which is a superb location for wind resource, as the area benefits greatly from the westerly winds crossing from Lake Huron. Annual mean wind speeds are measured at over 6.5 metres per second at an 80 metre hub height.
* Both projects have been in development for over 20 months and have a potential investment value of $60 Million once built. Each project has completed the technical connection and transmission assessments from the LDC HydroOne. Land Options and Lease Agreements are in place for over 1,500 acres with private landowners for the construction and operation of the wind parks. Turbine locations, access, and transmission routes are well into development and full resource assessments are to commence in weeks. Both projects publicly announced the Notice of Commence
About Wind Works
Wind Works’ mission is to become the leading developer of wind energy projects in North America. For more information, please visit: www.windworkspower.com
About Zero Emission People
The vision of Zero Emission People is to provide the opportunity for anyone to invest early in the development of renewable wind energy projects and with as much or as little as is financially affordable. A $10,000 investment in a wind park blows away a person’s carbon footprint. We believe in making sound, environmentally conscious investments that are good for all shareholders, people and our planet.
www.windworkspower.com/
