IRVINE, Calif., Dec. 22, 2011 /PRNewswire/ -- Quantum Fuel Systems Technologies Worldwide, Inc. (Nasdaq: QTWW) announced today that its wholly-owned subsidiary, Schneider Power Inc., through its wholly-owned subsidiary Trout Creek Wind Power Inc. (the "Trout Creek") has entered into a strategic agreement with a major global wind turbine manufacturer (the "Manufacturer") whereby, subject to the Manufacturer providing Trout Creek with a maximum of CDN$24,000,000 dollars to finance the construction of the generation facility, the Company will purchase and deploy the Manufacturers wind turbines for the 10 MW Trout Creek Wind Farm in Ontario, Canada.
The Manufacturer and Trout Creek have agreed to use their best efforts to execute a definitive financing agreement by December 31, 2012. The agreement also provides for the wind turbines to meet the 50% local content requirement as stipulated by the Ontario Government's Feed in Tariff Program and is subject to certain conditions, including receipt of regulatory and other third party approvals.
Alan Niedzwiecki, Quantum's CEO, commented, "We are excited about this relationship as it provides an opportunity for us to finance the Trout Creek and potentially other wind farms while retaining 100% ownership in each project. We are hopeful that the Trout Creek agreement will be the first among a broader strategic relationship aimed at financing and developing Schneider Power's global portfolio of 1,000 MW of wind farms."
Once completed in the fall of 2013, the electricity generated by the Trout Creek Wind Farm will be sold to the Ontario Power Authority under a 20-year power purchase agreement per the Ontario Government's Feed-In-Tariff program at $135/MWh. Schneider Power has secured a 20-year crown land concession and has successfully completed the required wind studies to finalize the design of the Wind Farm. Grid interconnection has been granted by the local utility Hydro One Networks Inc., to link to an existing high voltage transmission line near the property. The final environmental permitting efforts are currently underway and all required construction permits are expected to be secured in time to build and commission the renewable energy generation facility on schedule.
Quantum Fuel Systems Technologies Worldwide, Inc., a fully integrated alternative energy company, is a leader in the development and production of advanced propulsion systems, energy storage technologies, and alternative fuel vehicles. Quantum's wholly owned subsidiary, Schneider Power Inc., and affiliate Asola Advanced and Automotive Solar Systems GmbH complement Quantum's emerging renewable energy presence through the development and ownership of wind and solar farms, and manufacture of high efficiency solar modules. Quantum's portfolio of technologies includes electronic controls, hybrid electric drive systems, natural gas and hydrogen storage and metering systems and alternative fuel technologies that enable fuel efficient, low emission hybrid, plug-in hybrid electric, fuel cell, and natural gas vehicles. Quantum's powertrain engineering, system integration, vehicle manufacturing, and assembly capabilities provide fast-to-market solutions to support the production of hybrid and plug-in hybrid, hydrogen-powered hybrid, fuel cell, natural gas fuel, and specialty vehicles, as well as modular, transportable hydrogen refueling stations. Quantum's customer base includes automotive OEMs, dealer networks, fleets, aerospace industry, military and other government entities, and other strategic alliance partners.
About Schneider Power
Schneider Power Inc. is one of Canada's premier renewable energy companies, with a portfolio in excess of 1,000 MW clean electricity generation development projects and advanced exploration projects located across two continents, and large land positions on the most promising and prospective wind and solar power areas in North America. Schneider Power is a wholly owned subsidiary of Quantum Fuel System Technologies Worldwide Inc. For more information, please visit www.schneiderpower.com.
Forward Looking Statements:
This press release contains forward looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements included in this report, other than those that are historical, are forward-looking statements and can generally be identified by words such as "may," "could," "will," "should," "assume," "expect," "anticipate," "plan," "intend," "believe," "predict," "estimate," "forecast," "outlook," "potential," or "continue," or the negative of these terms, and other comparable terminology. Such forward-looking statements include statements with respect to the signing of a definitive financing agreement, the availability of financing for Trout Creek and other wind projects, the receipt of regulatory approvals, the broadening of a strategic relationship with the Manufacturer, the signing of additional agreements with the Manufacturer, the retention of 100% ownership in each wind project, the building out of the Schneider Power portfolio of renewable energy generation projects, the sale of power to the Ontario government under a power purchase agreement, the receipt of environmental and construction permitting, and the timing of completion of the Trout Creek project. Various risks including delays in the development of the Trout Creek wind farm, cost overruns in developing the Trout Creek wind farm, changes in Ontario's feed-in-tariff program, access to credit markets, and other factors could cause actual results, and actual events that occur, to differ materially from those contemplated by the forward looking statements. The Company undertakes no obligation to update the information in this press release to reflect events or circumstances after the date hereof or to reflect the occurrence of anticipated or unanticipated events.
More information can be found about the products and services of Quantum, Schneider Power and Asola at http://www.qtww.com/ or you may contact: