Viridis Energy subsidiary Viridis Merchants structures its first transaction, with about 30,000 tons of wood pellets from southeast US producer to be shipped to customers in Europe over next 12 months; Viridis Merchants serving as principal in the trade
VANCOUVER, British Columbia
December 30, 2013
– Viridis Merchants Secures Approximately 30,000 Tons of Annual Pellet Supply from Southeast U.S. Producer
Viridis Energy Inc. ("Viridis" or the "Company") (TSXV:VRD) ,a “Cleantech” manufacturer and distributor of renewable energy providing waste biomass fuel to global residential and industrial markets, announced today that its recently launched, wholly owned subsidiary, Viridis Merchants Inc., an aggregation and trading service between buyers and sellers of alternative energy, including wood pellets, has structured its first transaction.
Viridis Merchants has secured approximately 30,000 tons of wood pellets from a southeast U.S. producer, representing approximately 30% of the manufacturer’s capacity, to be delivered over the next 12 months to customers in Europe. Viridis Merchants is serving as a principal in the trade, providing value-add services such as logistics and marketing to the producer. The first shipment has left port and is headed to the residential market in Europe. This transaction will generate approximately $8 million in annual revenue for Viridis, which will be realized after each recurring monthly shipment, and will be immediately additive to earnings.
Christopher Robertson, Viridis’ CEO commented,“We anticipate a profitable growth year in 2014 with revenues from production alone more than doubling to over $30 million, as we realize the full year production of our manufacturing plant in Nova Scotia. In addition, we expect Viridis Merchants to be a complementary and profitable addition to our production capability, and we are encouraged to see how quickly the first transaction has come together. As of today, with this first bulk export transaction in Viridis Merchants, Viridis enters 2014 with approximately 240,000 tons in combined annual production and purchased capacity, a significant increase from 2013."
About Viridis Energy Inc.
Viridis Energy Inc. (TSXV: VRD) is a publicly traded, "Cleantech" alternative energy company specializing in the agricultural and wood waste biomass. Located in Vancouver, B.C., Viridis Energy operates Cypress Pacific Marketing, Okanagan Pellet Company and Scotia Atlantic Biomass, thus providing the company with vertical integration for distribution and manufacturing as well as coast to coast national presence. For more information on Viridis Energy Inc. please refer to the company website at www.viridisenergy.ca.
Certain statements in this release are forward-looking statements, which reflect the expectations of management regarding the Company’s future operations. Forward-looking statements consist of statements that are not purely historical, including any statements regarding beliefs, plans, expectations or intentions regarding the future. Such statements are subject to risks and uncertainties that may cause actual results, performance or developments to differ materially from those contained in the statements. No assurance can be given that any of the events anticipated by the forward-looking statements will occur or, if they do occur, what benefits the Company will obtain from them. These forward-looking statements reflect management’s current views and are based on certain expectations, estimates and assumptions which may prove to be incorrect. A number of risks and uncertainties could cause our actual results to differ materially from those expressed or implied by the forward-looking statements, including: (1) a continued downturn in general economic conditions in North America and internationally, (2) the inherent uncertainties associated with the demand for biofuels, (3) the risk that the Company does not execute its business plan, (4) inability to finance operations and growth (5) inability to finance the start-up operations in Nova Scotia in a timely manner (6) inability to retain key management and employees, (7) an increase in the number of competitors with larger resources, and (8) other factors beyond the Company’s control.These forward-looking statements are made as of the date of this news release and the Company intends to update such forward looking information in the Company's MD&A in the event that actual results differ materially from such forward-looking statements contained herein. Additional information about these and other assumptions, risks and uncertainties are set out in the“Risks and Uncertainties” section in the Company’s MD&A filed with Canadian securities regulators.
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