TORONTO, Jan. 11, 2021 /PRNewswire/ - Polaris
Infrastructure Inc. (TSX: PIF) ("Polaris Infrastructure" or the
"Company"), a Toronto-based
company engaged in the operation, acquisition and development of
renewable energy projects in Latin
America, announced today that it has extended the period of
exclusivity to June 30, 2021 for the
Memorandum of Understanding ("MOU") signed in 2020 to acquire the
owner of a Panama-based 10 MW
run-of-river hydro project called Chuspa (the "Project") from
Navitas Holdings, Inc. of Panama.
Due to restrictions arising from Covid-19 Polaris was unable to
commence the construction of the Project in 2020. We are
optimistic that with this extension we can mobilize in the second
quarter of this year.
While Covid-19 has pushed back the commencement of construction
in Panama, Polaris is committed to
continue with the strategic goal of continued growth and
diversification. The recent announcement of the successful
renegotiation and extension of our key contract at San Jacinto has
positioned the Company to pursue its key goals:
- Additional progress on corporate development and acquisition
initiatives in the renewables sector;
- Optimization of the balance sheet given the recent contract
extension and the relatively low level of Net Corporate Debt;
- Advancement of Carbon Credit certification process for 8 de
Agosto and El Carmen hydro facilities in Peru to ensure all operating facilities are
certified to sell credits.
In addition to the contract renegotiation, and despite a
challenging environment, in 2020 Polaris:
- Achieved a record level of total energy production on a
consolidated basis as a result of the Peru plants becoming fully operational;
- Sustained full availability at all our plants during Covid
restrictions and experienced no cases amongst our staff;
- Finished the year with a strong cash position of US$63 million;
- Took the opportunity to augment our corporate development and
project finance teams in both Toronto and Latin
America;
- Enhanced our leading ESG strategies, policies and disclosures
and continued our excellent Health and Safety record.
"Given such activities and accomplishments, we are positioned
well to execute on the plan to grow and diversify in the short and
medium term" commented Marc
Murnaghan. "I also want to take this opportunity to
personally thank all of our employees, financial partners, local
communities and government partners for their support and
commitment to Polaris in 2020 and extend best wishes for a safe and
prosperous 2021."
About Polaris Infrastructure
Polaris Infrastructure is a Toronto-based company engaged in the
operation, acquisition and development of renewable energy projects
in Latin America. Currently, the Company owns and operates a
geothermal project located in Nicaragua and hydro projects located in
Peru.
Cautionary Statements
This press release contains certain "forward-looking
information" which may include, but is not limited to, statements
with respect to future events or future performance, management's
expectations regarding the ability to complete the acquisition of
the Project on the terms described in this press release or at all,
the anticipated MW of the Project, the anticipated investments
required to complete construction of the Project, the anticipated
timeline required to achieve commercial operation, the ability to
fund construction with cash on hand and funds generated through
operations, the expected benefits from the acquisition of the
Project and diversification into Panama and the availability of similar
acquisition opportunities in Panama. Such forward-looking information
reflects management's current beliefs and is based on information
currently available to management. Often, but not always,
forward-looking statements can be identified by the use of words
such as "plans", "expects", "is expected", "budget", "scheduled",
"estimates", "forecasts", "predicts", "intends", "targets", "aims",
"anticipates" or "believes" or variations (including negative
variations) of such words and phrases or may be identified by
statements to the effect that certain actions "may", "could",
"should", "would", "might" or "will" be taken, occur or be
achieved. A number of known and unknown risks, uncertainties
and other factors may cause the actual results or performance to
materially differ from any future results or performance expressed
or implied by the forward-looking information. Such factors
include, among others, general business, economic, competitive,
political and social uncertainties; the actual results of current
geothermal and hydro energy production, development and/or
exploration activities and the accuracy of probability simulations
prepared to predict prospective geothermal resources; changes in
project parameters as plans continue to be refined; possible
variations of production rates; failure of plant, equipment or
processes to operate as anticipated; accidents, labor disputes and
other risks of the geothermal and hydro power industries; political
instability or insurrection or war; labor force availability and
turnover; delays in obtaining governmental approvals or in the
completion of development or construction activities, or in the
commencement of operations; the ability of the Company to continue
as a going concern and general economic conditions, as well as
those factors discussed in the section entitled "Risk Factors" in
the Company's Annual Information Form. These factors should
be considered carefully and readers of this press release should
not place undue reliance on forward-looking information.
Although the forward-looking information contained in this press
release is based upon what management believes to be reasonable
assumptions, there can be no assurance that such forward-looking
information will prove to be accurate, as actual results and future
events could differ materially from those anticipated in such
information. Accordingly, readers should not place undue reliance
on forward-looking information. The information in this press
release, including such forward-looking information, is made as of
the date of this press release and, other than as required by
applicable securities laws, Polaris Infrastructure assumes no
obligation to update or revise such information to reflect new
events or circumstances.
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SOURCE Polaris Infrastructure Inc.