CARSON CITY, NV--(Marketwired - Apr 16, 2014) - Pan Global, Corp. (OTCQB: PGLO) (the "Company") today announces the 4th of a five-part series of press releases intended to provide its current and prospective shareholders with an analysis of the Company's opportunity in India's green energy industry plus additional details about Project Badyar, a 5.7MW small-hydro power plant in northern India currently being acquired by the Company through its staggered purchase of the outstanding equity (and convertible debt if not converted) of Regency Yamuna Energy Limited, an India corporation commissioning the project ("RYEL").
In today's analysis, the Company is pleased to present the tariffs Project Badyar will earn as revenue under RYEL's Power Purchase Agreement with India's state-owned power corporation, Uttaranchal Power Corporation Limited.
Under the Power Purchase Agreement, Project Badyar is to earn a total of 4.27 Indian Rupees (INR) per kilowatt hour (kWh), consisting of base gross tariff of 4.22 INR per kWh and an additional 0.05 INR per kWh because RYEL had constructed certain transmission infrastructure and transferred it to the state-owned power company. That total tariff rate equals approximately $0.0709 USD per kWh based on the April 15, 2014 exchange rate as reported by Bloomberg.
The tariff rates are in accordance with India's Uttarakhand Electricity Regulatory Commission 2013 regulations and the Power Purchase Agreement is effective for 35 years following the commercial operation date of the small-hydro power plant.
Project Badyar is estimated to be 95% complete and is in the final stages of construction, which is expected to be completed this month, barring adverse weather or unforeseen circumstances.
Once construction is completed, the process of getting Project Badyar connected to the power grid (i.e., commissioned) is intended to begin immediately so that the plant can commence commercial operations as soon as possible.
Photos of Project Badyar can be viewed at the following link:
Company management commented, "We are extremely proud to share today with our shareholders more details of the first small-hydro plant the Company is working towards acquiring. RYEL has done a tremendous job over the past few years in getting Project Badyar's construction to this stage. Once construction is completed, the process of getting Project Badyar connected to the power grid is intended to begin immediately in order to commence commercial operations as quickly as possible. We are excited to be involved and look forward to the future. We intend to continue to increase our equity interest in RYEL under our acquisition agreement with RYEL."
As previously reported, the Company is in the process of acquiring 100% of Project Badyar through its staggered acquisition of RYEL. The Company currently holds a 9.46% equity stake in RYEL.
Company management commented further, "We look forward to continuing to provide our shareholders with additional information and insights into our vision and plans with this Shareholder Analysis Series. We believe in the path we have chosen, and are committed to our long term goal of building shareholder value."
As the Company has previously disclosed, on October 28, 2013, the Company, through its wholly-owned subsidiary, Pan Asia Infratech Corp., entered into a Stock Purchase Agreement ("Acquisition Agreement") with RYEL and its shareholders, pursuant to which the Company has agreed acquire, on a staggered basis, 100% of the outstanding shares and convertible debt (if not previously converted) of RYEL. Further details of the Acquisition Agreement are available in the Company's periodic and current reports filed with the SEC and available on the SEC's website free of charge at www.sec.gov.
The Acquisition Agreement contains pre-closing conditions, customary representations and warranties, post-closing covenants and mutual indemnification obligations for, among other things, inaccuracy or breach of any representation or warranty and any breach or non-fulfillment of any covenant.
About Pan Global, Corp.
Pan Global, Corp., through its wholly-owned subsidiary, Pan Asia Infratech, Corp., is focused on environmentally sustainable energy, infrastructure and technologies. Our aim is to invest in green energy technology and infrastructure to build an inclusive green economy around the world.
For additional information, please visit the Company's website at www.panglobalcorp.com, the contents of which are not incorporated into this press release.
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