P2 Solar, Inc.
OTC Bulletin Board : PTOS

P2 Solar, Inc.

August 18, 2009 09:30 ET

P2 Solar, Inc. Signs Memorandum of Understanding to Build 25 Megawatt Solar Power Station With Punjab Government Agency

SURREY, BRITISH COLUMBIA--(Marketwire - Aug. 18, 2009) - P2 Solar, Inc. (OTCBB:PTOS) ("the Company") is please to announce that on July 13, 2009 they have signed a Memorandum of Understanding (MOU) with a Punjab Government Agency. Pursuant to the terms of the MOU, the Company is authorized to prepare and submit a pre-feasibility report for the proposed development and construction of a 25 Megawatt Solar Power Station within the Indian State of Punjab. The Company must supply the pre-feasibility report to the government agency within 120 days of the execution of the MOU. Once submitted, the report will be reviewed and the government agency will make a final determination about the feasibility of the proposed Solar Power Station. In the event the agency approves the report, the next step will be for the parties to enter into a separate memorandum of understanding memorializing the terms for the construction of the 25 Megawatt Solar Power Station.

Additionally, in the event the government agency approves the pre-feasibility report, the Company anticipates that in conjunction with such approval, the Company will enter into an Implementation Agreement with the government agency and simultaneously a Power Purchase Agreement with the Punjab State Electricity Board pursuant to Clause 8 of the New and Renewable Sources of Energy (NRSE) Policy - 2006 established by the Government of Punjab. The Company anticipates that the Implementation Agreement will provide that, pursuant to the NRSE Policy - 2006 and the Punjab State Electricity Regulatory Commission's (PSERC) Tariff Order dated December 13, 2007, the Punjab State Electricity Board shall purchase 100% of the power generated from the Solar Power Station constructed by the Company. Under the terms of the MOU, P2 Solar, Inc. shall be required to set up the project in Independent Power Plant mode for sale of power to the Punjab State Electricity Board/ successor licensee only.

Mr. Raj Gurm, Chief Executive Officer of P2 Solar, Inc. stated, "We are extremely pleased to have reached this milestone with the Indian Government, the Punjab State Electricity Board, and the Punjab Energy Development Agency. Everyone recognizes the need for more electrical power throughout India, and we look forward to working with the various government agencies and their employees in bringing this Solar Power Station to Punjab."

About P2 Solar, Inc.

P2 Solar, Inc. is dedicated to building Solar Power Stations, currently focusing its efforts throughout India. It is also involved in the manufacturing of an advanced Hybrid Solar Panel and other solar technologies. The company will manufacture these panels for application in the Industrial, Commercial, and Residential, markets. For additional information please visit our website at http://www.p2solar.com

Forward-Looking Statements

Statements made in this press release are forward-looking and are made pursuant to the safe harbor provisions of the Securities Litigation Reform Act of 1995. Risk factors that could cause actual results to differ materially from those projected in forward-looking statements include, but are not limited to, general business conditions, managing growth, and political and other business risks. All forward-looking statements are expressly qualified in their entirety by this Cautionary Statement and the risks and other factors detailed in the P2 Solar, Inc.'s reports filed with the Securities and Exchange Commission. P2 Solar, Inc. undertakes no duty to update these forward-looking statements.

Contact Information

  • Capital Group Communications, Inc.
    Mark Bernhard, VP Corporate Communications
    Investor Relations Contact
    (415) 332-7200
    Website: www.capitalgc.com