Biomass Secure Power Inc. Tax Free
Bond Status Approved
Abbotsford, British Columbia January 20, 2017 - InvestorsHub
NewsWire - Biomass Secure Power Inc. (OTC: Pinksheets:
BMSPF). Biomass Secure Power is pleased to advise shareholders
that on January 19th, 2017 the Louisiana State Bond Commission
approved the sale of $60 million tax exempt bonds by the Companys
wholly owned subsidiary, Biomass Power Louisiana L.L.C. (BPL). The
Company has engaged the Bank of America Merrill Lynch to sell the
bonds on behalf of the company.
The proceeds of the bond issue will be used to build a new
240,000 tonne/yr, Bio-Coal production facility at the Port of
Natchitoches Louisiana. A 20 year off-take agreement has been
confirmed for 200,000 tonnes per year of Bio Coal, which is
expected to generate annual sales in excess of $40 million per
year. The total annual sales from phase one running at 240,000
tonnes/yr is planned to be in excess of $48 million per year.
Biomass Secure Power Inc. and River Basin Energy are in the
process of merging the two companies prior to the closing date of
the financing round. Additional information about the merger will
be released in the upcoming weeks.
The investment at Natchitoches is phase one of a three phase
development program that will increase the plant production
capacity to one million tonne per year. River Basin Energy has
received a MOU to provide a further 500,000 tonne/year to 2,000,000
tonne/year of Bio-Coal. The MOU will be converted to a binding
off-take agreement after trial samples from phase 1 operations have
been received and evaluated by the buyer as being of the same
quality or better than samples already made available from the RBE
reactor.
Bio-coal is a torrefied product used to generate heat and
electrical power for residential and industrial purposes. Bio-coal
is a sustainable alternate to coal in most circumstances. Bio-Coal
has a commercial advantage over whitewood pellets as the energy
cost is about the same and the CAPEX requirements to convert an
existing plant to bio-coal is significantly lower.
About the Company
Biomass Secure Power Inc. is incorporated in the Province of
British Columbia. On May 4, 2016 the Company signed a Memorandum of
Understanding with River Basin Energy to merge the companies and
build a bio-coal plant at the Port of Natchitoches, Louisiana.
Public filings and financial information for Biomass Secure Power
Inc. can be found at www.sedar.com.
Safe Harbour Statement:
This information includes certain forward-looking statements.
The forward-looking statements reflect the beliefs, expectations,
objectives and goals of the Company management with respect to
future events and financial performance. They are based on
assumptions and estimates, which are believed reasonable at the
time such statements are made. However, actual results could differ
materially from anticipated results.
On Behalf of the Board,
BIOMASS SECURE POWER INC.
Jim Carroll
Jim Carroll, President - CEO