Clean Wind Energy Tower, Inc. CEO Responds to Frequently Asked Downdraft Tower Questions
ANNAPOLIS, Md., Sept. 26, 2012 /PRNewswire/ -- Clean Wind Energy Tower, Inc. (OTCBB: CWET, the "Company") Ronald W. Pickett, President and Chief Executive Officer stated, "We have had a continual influx of questions and inquiries about our Downdraft Tower. Below are some of the more pertinent that I would like to address and try to clarify for everyone."
Q. Given recent news that the Downdraft Tower could be lowered in height from 3,000 feet tall to 2,250 feet, how much electricity does the Company estimate the shorter tower could produce?
A. After evaluating the actual atmospheric and local weather data in the San Luis, Arizona as well as the San Luis, Mexico area, the Company estimates that the 2,250 foot Tower in that region should produce over 700 megawatt hours of saleable energy over an average day, 365 days a year. The actual output can range from as low as 300 megawatt hours to a cap of 1,200 megawatt hours.
Q. In terms of US dollars, how much would 700 megawatt hours equate to?
A. That depends, of course, on the terms of the contract or contracts to sell the power. Using the estimate of 0.11/kilowatt hour, which roughly equates to the avoided cost in California, an average hourly output 24/7/365 could generate approximately $700,000,000 in gross annual revenues.
Q. If a Tower project generated $700 million in gross annual sales, how much of that would flow to CWET?
A. That question is not possible to answer at this time. CWET plans to establish separate ventures for each Tower project and return as much value to our shareholders as it can from each individual situation. The Company plans to charge development fees and licensing fees to each project venture to enable the use of CWET know how and patents. The Company also intends to retain ownership percentages in each project. Strong power purchase agreements combined with performance guarantees and pre-determined costs should lead to more favorable financing terms. The better the overall projected returns, the better position the Company will be in when it is time to negotiate terms with potential equity partners.
Q. Does CWET plan to sell stock to finance these Tower projects?
A. No. CWET plans to evaluate sites, determine the size Tower appropriate for the site, and calculate the best power out-put design for the Tower. That proprietary data combined with construction techniques and power plant design, in accordance with the Company business plan, can enable partnerships and ventures to foster tower projects in which the Company can be a significant financial participant.
About Clean Wind Energy, Inc.
Clean Wind Energy, Inc. a wholly owned subsidiary of Clean Wind Energy Tower, Inc, has designed and is preparing to develop, and construct large "Downdraft Towers" that use benevolent, non-toxic natural elements and operate with virtually no carbon footprint, fuel consumption, or residual waste to generate electricity and clean water economically by integrating and synthesizing numerous proven as well as emerging technologies. This technology will generate clean, cost effective and efficient electrical power without the damaging effects caused by using fossil or nuclear fuels, and other conventional power sources.
The Company's core objective and focus is to become a provider of clean efficient green energy to the world communities at a reasonable cost without the destructive residuals of fossil fuel, and to help broker the chasm between both, while continuing to generate innovative technological solutions for today and tomorrow's electrical power needs.
In addition to constructing Downdraft Towers in the United States and abroad, the Company intends to establish partnerships at home and abroad to propagate these systems and meet increasing global demand for clean water and electricity. Clean Wind has assembled a team of experienced business professionals, engineers and scientists with access to the breakthrough energy research upon which this technology is founded and the proven ability to bring the idea to market. Clean Wind Energy, Inc. has filed several patents that the Company believes will further enhance this potentially revolutionary technology. Clean Wind Energy, Inc. is based in Annapolis MD, and is traded on the OTCBB under the symbol 'CWET'. For more information visit www.cleanwindenergytower.com
Clean Wind Energy, Inc.
1997 Annapolis Exchange Parkway
Annapolis, Maryland 21401
Phone: (855) 848-6937
Cautionary Note Regarding Forward-Looking Statements
Information included in this release may constitute "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934, and as that term is defined in the Private Litigation Reform Act of 1995. Such statements involve a number of risks and uncertainties such as competitive factors, technological development, market demand and the Company's ability to obtain new contracts and accurately estimate net revenues due to variability in size, scope and duration of projects, and internal issues in the sponsoring client. Further information on potential factors that could affect the Company's financial results, can be found in the Company's various filings with the Securities and Exchange Commission (SEC).
SOURCE Clean Wind Energy Tower, Inc.