Alterra Power Announces Release of Lender Waiver at Toba Montrose
VANCOUVER, July 17, 2014 /PRNewswire/ - Alterra Power Corp. (TSX: AXY) is pleased to announce that the Toba Montrose credit agreement has been amended to remove an insurance-related waiver, paving the way for the resumption of regular equity distributions from the project. The project partnership had previously agreed with its lenders to temporarily suspend distributions until satisfactory resolution of insurance-related issues related to a naturally-occurring rockslide at the project in December 2012. The project has now secured new insurance, effective immediately, at substantially the same coverage terms that existed prior to the rockslide. Alterra expects to receive an equity distribution of C$7.6 million from the project in August 2014 (from a total project distribution of C$19.0 million).
Jay Sutton, Alterra's Vice President of Hydro Power, said "The Toba Montrose facility continues to run at full strength since we completed the rockslide repairs and installed new protective measures last September. Year to date the facility is producing at 99% of plan. With all insurance matters satisfactorily behind us, we are back on plan and looking forward to decades of reliable cash flow from this premier hydro asset."
About Alterra Power Corp.
Alterra Power Corp. is a leading global renewable energy company, operating six power plants totaling 568 MW of generation capacity, including British Columbia's largest run-of-river hydro facility and largest wind farm, two geothermal facilities in Iceland, and a geothermal plant in Nevada. Alterra owns a 262 MW share of this capacity, generating approximately 1,300 GWh of clean power annually.Alterra has an extensive portfolio of exploration and development projects and a skilled international team of developers, explorers, builders and operators to support its growth plans.
The company trades on the Toronto Stock Exchange under the symbol AXY and OTC in the United States as MGMXF.
Cautionary Note Regarding Forward-Looking Information
Certain statements and information included in this news release are "forward-looking information" within the meaning of Canadian securities laws that involve risks and uncertainties. Forward-looking information relates to future events or future performance and reflects management's expectations and beliefs regarding future events as of the date hereof. Examples of forward-looking information in this news release include: information and statements regarding prospective results of operations, the timing, reliability and duration of future cash flows, including the proposed equity distribution of the Toba Montrose general partnership in August 2014 and annual generation. Forward-looking information is based on factors or assumptions that were applied in drawing a conclusion or making a forecast or projection, including assumptions based on historical trends, current conditions and expected future developments. Since forward-looking information relates to future events and conditions, by its very nature it requires making assumptions and involves inherent risks and uncertainties. Alterra cautions that although it is believed that the assumptions are reasonable in the circumstances, these risks and uncertainties give rise to the possibility that actual results may differ materially from the expectations set out in the forward-looking information. Material risk factors and assumptions include: weather and hydrology which may differ from Alterra's long term forecasts, operating costs and plant availability which may be different than expected due to unexpected maintenance and repairs, shutdowns due to equipment failure, or catastrophic events, and changes to the regulatory regime which could impact Alterra's ability to operate, as well as those set out in the management's discussion and analysis section of Alterra's most recent annual report and quarterly report, and in Alterra's Annual Information Form for the year ended December 31, 2013. Although Alterra has attempted to identify important factors that could cause actual actions, events or results to differ materially from forward-looking information, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that forward-looking information will prove to be accurate and undue reliance should not be placed on forward-looking information. Except as required by law, Alterra undertakes no obligation to update any forward-looking information to reflect new information, subsequent or otherwise.
SOURCE Alterra Power Corp.