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All amounts are in US dollars, unless otherwise indicated
VANCOUVER, BC / ACCESSWIRE / October 8, 2021 / RE Royalties Ltd. (TSXV: RE) (“RE Royalties” or the “Company”), a global leader in royalty-based renewable energy financing, is pleased to announce that it has acquired a gross revenue royalty at sliding scale on 27 MWCC (20 MWTHAT) Jackson Center Solar Project Phase 1 (“Jackson Center” or “Project”) located in Mercer County, Pennsylvania.
Jackson Center is owned by Teichos Energy, LLC (“Teichos”), a renewable energy development company headquartered in Seattle, Washington. It is an advanced-stage solar project that is expected to go into commercial operation in 2023. Once operational, Jackson Center will generate 38,800 MWh per year of clean energy.
The Company has entered into a secured loan agreement (the “Loan”) with Teichos pursuant to which the Company has provided a US $ 2.2 million letter of credit on behalf of Teichos, in order for Teichos to provide certain guarantees for the connection. to the Project network.
The loan will have an initial term of 6 months and will bear an interest rate of 10% per year, compounded annually, and payable at the end of the term. The Company will have a first ranking security interest in the Project, including a lien on the assets of the Project and a pledge of all equity of the Project.
The Company will receive a 1% gross revenue royalty on the Project (the “Royalty”) for a period of 15 years once the Project enters into commercial operation. The loan term can be extended by two additional 6-month installments, for a total extension of up to 12 months. If the term of the loan is extended, the fee will increase accordingly.
Bernard Tan, CEO of the company, said, “We are delighted to be working with the Teichos team on this transaction to help move the Jackson Center project forward. Our non-dilutive royalty financing solution gives Teichos the flexibility to continue to develop this project and bring this one step closer to commercial exploitation. “
Steve Voorhees, CEO of Teichos, said: “Teichos is impressed with the capabilities, people, work ethic and business approach of RE Royalties. Their exceptional responsiveness to our needs on this project is refreshing and we look forward to doing business with them in the future. “
On behalf of the Board of Directors,
Bernard Tan
CEO
About RE Royalties Ltd.
RE Royalties Ltd. acquires royalties based on revenues from renewable energy production facilities by providing a non-dilutive financing solution to private and listed companies producing and developing renewable energy. RE Royalties is the first to apply this proven business model to the renewable energy sector. The Company currently holds 97 royalties on solar, wind, storage and hydroelectric projects in Canada, Europe and the United States. The Company’s business objectives are to provide shareholders with strong and growing returns, strong capital protection, a high growth rate through reinvestment and a sustainable investment focus.
About Teichos Energy, LLC
Teichos Energy, LLC is a renewable energy development company headquartered in Seattle, Washington. Teichos operates with a 16-member team of highly experienced and successful energy industry professionals with in-depth technical, commercial and financial capabilities. The Teichos team has successfully developed over 700 MW of solar, wind and geothermal power over the past 15 years and consists of former senior executives from Ridgeline Energy, having sold Ridgeline and their portfolio of projects to renewable energy at Veolia in 2008.
For more information, please contact:
Investor contact:
Renmark Financial Communications Inc.
Daniel Gordon: [email protected]
Phone. : (416) 644-2020 or (212) 812-7680
www.renmarkfinancial.com
Media contact:
RE Royalties Ltd.
Talia Beckett: [email protected]
Phone: (778) 374‐2000
www.reroyalties.com
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This press release does not constitute an offer to sell or the solicitation of an offer to buy securities in any jurisdiction, and there will be no offer or sale of securities in any jurisdiction in which such an offer. , solicitation or sale would be illegal. The securities offered have not been approved or disapproved by any regulatory authority and none of those authorities has passed judgment on the accuracy or sufficiency of the short form base shelf prospectus or prospectus supplement. The offering and sale of the securities has not been and will not be registered under the United States Securities Act of 1933, as amended (the “US Securities Act”) or any securities law of a State and may not be offered or sold in the United States. or persons in the United States without an applicable registration or exemption from the registration requirements of the US Securities Act and applicable state securities laws.
Forward-looking statements
This press release contains forward-looking information and forward-looking statements (collectively, “forward-looking information”) concerning the Company and within the meaning of Canadian securities laws. Forward-looking information is generally identified by words such as: believe, expect, anticipate, intend, estimate, postulate and similar expressions, or are those which, by their nature, refer to future events. This information represents forecasts and actual events or results may differ materially. Forward-looking information may relate to the future prospects of the Company and anticipated events or results and may include statements regarding the Company’s financial results, future financial condition, expected growth in cash flows, business strategy, budgets, projected costs, projected capital expenditures, taxes, plans, goals, industry trends and growth opportunities, including financing. The reader is encouraged to consult the most recent Company documents on SEDAR for a more complete discussion of all applicable risk factors and their potential effects, copies of which can be viewed through the Company’s profile page at ‘address www.sedar.com.
THE SOURCE: RE Royalties Ltd.
See the source version on accesswire.com:
https://www.accesswire.com/667452/RE-Royalties-Acquires-Royalty-on-27MW-Solar-Project-in-Pennsylvania
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