Herlev, 24 March 2011
Company Announcement No 5/2011
Greentech enters into agreements for the supply, delivery, construction and bridge financing of 16 Nordex wind turbines for the Cagliari II project (24MW)
Greentech has entered into an agreement with Nordex regarding the revival of the delivery and erection of 16 wind turbines for the Cagliari II project of 24 MW situated on the site adjacent to the Energia Verde project in Sardinia. As a substantial part of the civil works, including the foundations and establishment of internal roads and crane pads, has been finalised, Nordex is able to start delivery and commence erection of the wind turbines in April 2011. Additionally, as the expansion of the transformer station established for the Energia Verde project is also being finalised by Terna, it will be possible to utilise the same grid connection for both projects. Commissioning of the wind turbines is expected to start in August 2011 and revenue generating production is expected from September 2011.
Based on the historically close partnership between the parties and the intention of rebuilding a stronger business relation, it has further been agreed with Nordex, that the agreement from 2008 regarding the delivery of 9 wind turbines for the Cagliari III project has been cancelled. The prepayment on this contract has been transferred to the delivery contract for the Cagliari II project. For Greentech, it has been important to eliminate the potential contractual obligation of EUR 14.8M, as there is material uncertainty regarding the possibility to obtain all permits for the Cagliari III project.
Greentech has also entered into an agreement of a bridge financing of the above wind turbines. The bridge financing is on market terms and has a duration of 6 months after final completion (approx. February 2012). Hereby the Company will have the opportunity to negotiate and obtain a final project financing on market terms, even after the start of operations of the Cagliari II project.
We consider this agreement a major success for the Company.
The Board of Directors
For further information, please contact:
Sigieri Diaz della Vittoria Pallavicini, CEO, tel: +45 33 36 42 02 Peter Hoestgaard-Jensen, Chairman of the Board of Directors, tel: +45 40 10 88 71
Company Announcement No 5/2011
Greentech enters into agreements for the supply, delivery, construction and bridge financing of 16 Nordex wind turbines for the Cagliari II project (24MW)
Greentech has entered into an agreement with Nordex regarding the revival of the delivery and erection of 16 wind turbines for the Cagliari II project of 24 MW situated on the site adjacent to the Energia Verde project in Sardinia. As a substantial part of the civil works, including the foundations and establishment of internal roads and crane pads, has been finalised, Nordex is able to start delivery and commence erection of the wind turbines in April 2011. Additionally, as the expansion of the transformer station established for the Energia Verde project is also being finalised by Terna, it will be possible to utilise the same grid connection for both projects. Commissioning of the wind turbines is expected to start in August 2011 and revenue generating production is expected from September 2011.
Based on the historically close partnership between the parties and the intention of rebuilding a stronger business relation, it has further been agreed with Nordex, that the agreement from 2008 regarding the delivery of 9 wind turbines for the Cagliari III project has been cancelled. The prepayment on this contract has been transferred to the delivery contract for the Cagliari II project. For Greentech, it has been important to eliminate the potential contractual obligation of EUR 14.8M, as there is material uncertainty regarding the possibility to obtain all permits for the Cagliari III project.
Greentech has also entered into an agreement of a bridge financing of the above wind turbines. The bridge financing is on market terms and has a duration of 6 months after final completion (approx. February 2012). Hereby the Company will have the opportunity to negotiate and obtain a final project financing on market terms, even after the start of operations of the Cagliari II project.
We consider this agreement a major success for the Company.
The Board of Directors
For further information, please contact:
Sigieri Diaz della Vittoria Pallavicini, CEO, tel: +45 33 36 42 02 Peter Hoestgaard-Jensen, Chairman of the Board of Directors, tel: +45 40 10 88 71
© 2011 GlobeNewswire
