Minerco Resources, Inc.: Negotiating Agreement for equity partner on Chiligatoro Project
HOUSTON, May 1, 2012 /PRNewswire/ — Minerco Resources, Inc. (OTCQB: MINE), a progressive developer, producer and provider of clean, renewable energy solutions in Latin America, releases operational update for its Chiligatoro Hydro-Electric Project in Honduras, Central America.
The company is currently in negotiations to acquire an equity partner estimated between 25%-60% in its Chiligatoro Project which would save the company between $3.0 and $7.2 million in capital expenditures. The project is estimated to have the potential capacity to gross $4.2 million per year once fully operational and has an estimated internal rate of return of 26%; however such estimates are based upon preliminary results and assume all studies produce anticipated results and that expenses do not exceed their estimated amount and therefore there can be no assurance that the results will be as anticipated.
As previously released, the Chiligatoro Hydro-Electric Project has been formally approved by the local communities, local Municipality and its Environmental Unit. The Secretaria de Recursos Naturales y Ambiente (“SERNA”), Honduras’s Natural Resources and Environmental Ministry has approved the Operations Contract, Water Contract and Environmental License for the Chiligatoro Project. The Honduran National Commission of Energy has also granted formal approval for the Project. The Chiligatoro Project is also, concurrently, applying for the Project’s Power Purchase Agreement (PPA) from Empresa Nacional de Energia Electrical (ENEE) and we are soliciting bids for Final Design and Construction.
“We are very excited about the potential of obtaining an equity partner in our Chiligatoro project. This would lower our capital expenditure outlay and expedite the construction of all 3 phases of Chiligatoro. This also opens up the possibility of partnering on future projects as well,” said V. Scott Vanis, Minerco’s President and CEO.
Please contact: Minerco Resources, Inc. email@example.com 281-994-4187
Safe Harbor Statement
This release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Act of 1934 that are based upon current expectations or beliefs, as well as a number of assumptions about future events. Although we believe that the expectations and assumptions upon which they are based are reasonable, we can give no assurance that such expectations and assumptions will prove to have been correct. Some of these uncertainties include, without limitation, to statements regarding the anticipated revenue and rate of return to be derived from the project, the total capital expenditure of the project and our ability to secure an equity partner. The reader is cautioned not to put undue reliance on these forward-looking statements, as these statements are subject to numerous factors and uncertainties, including without limitation, successful implementation of our business strategy and competition, any of which may cause actual results to differ materially from those described in the statements. We undertake no obligation and do not intend to update, revise or otherwise publicly release any revisions to these forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of any unanticipated events. Although we believe that our expectations are based on reasonable assumptions, we can give no assurance that our expectations will materialize. Many factors could cause actual results to differ materially from our forward-looking statements.
SOURCE Minerco Resources, Inc.