Primary Energy Recycling Announces Eight-week Extension of Cokenergy Contract and Provides General Update on Contract Status
OAK BROOK, IL, Dec. 9, 2013 /PRNewswire/ - Primary Energy Recycling Corporation (TSX: PRI), a clean energy company that generates revenue from capturing and recycling recoverable heat and byproduct fuels from industrial processes, today announced an eight-week extension of its existing contract with the site host for its Cokenergy project. The extension will expire on January 31, 2014.
"We have made good progress over the past several months on establishing the framework for a new long-term contract for Cokenergy," said John Prunkl, President and Chief Executive Officer of Primary Energy. "Many of the key contract terms are agreed upon in principle, but more work remains. The current plan is to finalize a letter of intent early next year with definitive documents targeted for completion around the end of the first quarter."
Subject to definitive agreements, the parties have agreed to work toward a renewal contract term of 10 years to September 30, 2023 and project economics that are expected to be substantially similar to those derived from the original contract provided that Cokenergy performs to pre-specified operating levels which are within historic operating ranges.
Primary Energy Recycling will provide further details if and when the letter of intent and definitive agreements are executed.
Cokenergy is an integrated, first-of-its-kind combined heat and power facility that provides electricity, process steam, and environmental services that are integral to the site host's steel-making operations. The facility has capacity to supply up to one-fourth of the site host's total electrical requirements or more than half of its process steam needs.
About Primary Energy Recycling Corporation
Primary Energy Recycling Corporation, headquartered in Oak Brook, Illinois, owns and operates four recycled energy projects and a 50 percent interest in a pulverized coal facility (collectively, the "Projects"). The Projects have a combined electrical generating capacity of 298 megawatts and a combined steam generating capacity of 1.8M lbs/hour. Primary Energy Recycling Corporation creates value for its customers by capturing and recycling waste energy from industrial and electric generation processes and converting it into reliable and economical electricity and thermal energy for resale back to its customers. For more information, please see www.primaryenergy.com.
When used in this news release, the words "anticipate", "expect", "project", "believe", "estimate", "forecast" and similar expressions are intended to identify forward-looking statements. Such statements are subject to certain risks, uncertainties and assumptions pertaining, but not limited to, the ability of the parties to agree upon definitive documents in respect of the Cokenergy renewal contract, the anticipated benefits of the Cokenergy contract described in this press release, operating performance, regulatory parameters, weather and economic conditions and other factors discussed in the Company's public filings available on SEDAR at www.sedar.com. These forward-looking statements are made as of the date of this press release and the Company assumes no obligation to update or revise them to reflect new events or circumstances except as required by applicable securities laws.
SOURCE Primary Energy Recycling Corporation