British Columbia-based Nations Energy enters into 15-year agreement to lease portion of Biosource Power's pellet manufacturing facilities in Kamloops, British Columbia, to build biomass power project under BC Hydro program
KAMLOOPS, British Columbia
August 9, 2011
– Nations Energy Corporation ("Nations Energy" or the "Company") through its wholly owned subsidiary, Cedarhurst Forestry Products Inc., has entered into a 15-year lease agreement with Biosource Power Ltd. concurrent to their purchase of the lands buildings and pellet manufacturing facilities located at 10285 Dallas Road in Kamloops from Farm Credit Canada. The Purchase is expected to be completed by September of this year.
Under the agreement, Cedarhurst will lease a portion of the property as the permanent site for their planned Biomass Power Project pursuant to Nations Energy's selection by BC Hydro under its Community-Based Biomass Power program for Kamloops.
Both Biosource and Cedarhurst plan to cooperate together with respect to the use of the facilities including potential arrangements on fibre supply, for pellet production and distribution, including shared use of rail transport facilities. Dale Andrews, President of Nations Energy, states, "We have been interested in this Kamloops site for some time and we are pleased to have secured an appropriate arrangement for the development of our initial project in the community of Kamloops."
About Nations Energy Corporation
Nations Energy Corporation is an integrated sustainable Bioenergy company focused on the creation of carbon neutral energy and bio fuels from Mountain Pine Beetle ("MPB") killed biomass. The MPB is an infestation that has killed 675 million cubic metres of timber in British Columbia. However, MPB timber has significant value as it can be used to create Bioenergy. NEC is uniquely positioned to leverage timber and MPB feedstock through Bioenergy products that address the rapidly growing biomass energy market. Nations Energy is also committed to working with First Nations in BC communities for forestry management and other fibre supply arrangements as well as related employment opportunities. For more information visit: www.nationsenergycorp.com.