TORONTO, Jan. 7, 2014 /PRNewswire/ -- Atlantic Wind and
Solar Inc. (OTC: AWSL) is pleased to announce the following
update including progress reports and news of further cost
reductions to enhance shareholder value.
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Ontario - 101 PV
Portfolio
The portfolio commenced construction in September 2013 and has seen 2 projects completed
and awaiting COD confirmation from the Ontario Power
Authority. The balance are at various stages nearing
completion. While we anticipated completing all 12 projects in 2013
regrettably scheduling delays with roofing companies and a roofing
strike in the area set us back. The Portfolio is expected to
be completed substantially if not completely in Q1 2014.
COD - Commercial Operation Date - is a significant milestone not
just because it represents project completion but because it is
also the stage at which all cost calculations are finalized and the
Company's payables and receivables netted. Up to this point both
payables and receivables escalate at each stage of construction. At
COD a project is complete and payables/receivables are netted such
that financial statements now reflect that the project is in the
past rather than still ongoing.
The utility scale projects, comprising 12 commercial buildings
in Mississauga and Brampton in Ontario, represent 1.582 MW AC and
approximately 1.9 MW DC peak.
Ontario - 102 PV
Portfolio
Notice to Proceed was obtained from the Ontario
Power Authority in November and construction is being scheduled for
Q1 on 130kW with the remaining megawatt expected to follow
shortly.
These utility scale projects, comprising 4 large commercial
installations in Mississauga and
Milton in Ontario, represent 1.130 MW AC and
approximately 1.35 MW DC peak.
Ecuador Phase One 20 MW AC / 25 DC
Atlantic submitted the final utility scale system design to CONELEC
in early December and awaits final notice to proceed. Land
preparation is scheduled for January
2014 with the project expected to be
commercially operating by Dec 31,
2014.
Further reduction in operating costs
In Q4 management
continued its push toward lower operating costs. Senior Management
will be swapping approximately $4.8
million Series A 12% Preferred Shares into Series B 8% non
convertible Preferred Shares. The net affect will be a savings of
nearly $200,000 in interest annually.
In addition management will move to a more project based
compensation system whereby salaries are reduced on an annual basis
in exchange for potential bonus payments based on projects reaching
commercial operation. This better fits the Atlantic long-term
business model and allows the company to match payables with
receivables plus link management compensation to profitability
rather than time. Together these restructuring moves will reduce
annual expense by nearly $600,000.
Back in Black
With Q4's revenues, plus the Q1 revenues
from the projects in their final stages, and the cost reductions
mentioned above Atlantic anticipates the elimination of losses
imminently. With losses steadily decreasing from 2009's loss of
nearly $2.7 million to 2012's loss of
less than $350 thousand
Atlantic, in a turnaround that would be seen as swift in most
markets, expects to report profits in the very near future.
Atlantic's additional pipeline in Ontario
The Company continues to secure
new projects in Ontario and taking
steps to make further applications into the OPA FIT program.
About Atlantic Wind and Solar Inc:
Atlantic is a
developer of utility scale renewable energy plants. With over 350
MW's of projects at various stages of development in Canada, South
America and the Caribbean.
For more information and/or to subscribe for regular news
updates from Atlantic Wind & Solar, visit:
www.atlanticwindandsolar.com
Disclaimer:
Shareholders and investors are strongly cautioned against placing
undue reliance on information set forth in these communications in
making any investment decisions concerning our securities. The
matters set forth in this press release are forward-looking
statements within the meaning of the "safe harbor" provisions of
the Private Securities Litigation Reform Act of 1995. These
forward-looking statements are subject to risks and uncertainties
that may cause actual results to differ materially. These risks are
detailed from time to time in the company's periodic reports filed
with the OTCMarkets.com portal including the company's Annual
Report, Quarterly Reports, and other periodic filings. These
forward-looking statements speak only as of the date hereof. The
company disclaims any intent or obligation to update these
forward-looking statements.
SOURCE Atlantic Wind and Solar Inc.
