RE Royalties Acquire Royalty on 78MW Solar Park in Texas and Issues Stock Option Grant
Tuesday, December 18, 2018 9:00 AM
VANCOUVER, BC / ACCESSWIRE / December 18, 2018 / RE Royalties Ltd. (TSX-V: RE) ("RE Royalties" or the "Company") is pleased to announce that it has acquired a gross revenue royalty on the 78 MW Rippey solar project ("Rippey Project" or "Project") located in Texas. The Rippey Project is an advanced stage solar project located in Cooke County, Texas that is expected to reach commercial operation in the spring of 2020. Once operational, the Project will generate approximately 145,000 MWh per year of clean energy; capable of removing 107,900 metric tons of carbon from the electricity grid or an equivalent of 23,000 passenger vehicles from the road (1).
In consideration for the royalty, the Company entered into a secured loan agreement with a subsidiary of Belltown Power Texas, LLC ("Belltown") whereby the Company provided a US$2.8 million letter of credit for up to one year on behalf of Belltown, in order for Belltown to post certain collateral for the Project's grid connection.
In addition, the Company has granted 150,000 stock options to an incoming new director and officer of the Company. The stock options are granted under the Company's stock option plan and are exercisable at $1.00 per common share and are for a term of five years, subject to regulatory approval.
On Behalf of the Board of Directors,
Neither the TSX Venture Exchange nor its Regulation Services Provide (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
About RE Royalties Ltd.
RE Royalties acquires revenue-based royalties from renewable energy generation facilities by providing a non-dilutive royalty financing solution to privately-held and publicly-traded renewable energy generation and development companies. The Company currently owns royalties from solar, wind and hydro projects in Canada, Europe and the United States. The Company's business objectives are to provide shareholders with a strong growing yield, robust capital protection, high rate of growth through re-investment and a sustainable investment focus.
For further details on RE Royalties, please visit www.reroyalties.com or contact us at (778) 374‐2000 or send us an email at [email protected].
Forward Looking Statements
This news release includes forward-looking information and forward-looking statements (collectively, "forward-looking information") with respect to the Company and within the meaning of Canadian securities laws. Forward looking information is typically identified by words such as: believe, expect, anticipate, intend, estimate, postulate and similar expressions, or are those, which, by their nature, refer to future events. This information represents predictions and actual events or results may differ materially. Forward-looking information may relate to the Company's future outlook and anticipated events or results and may include statements regarding the Company's financial results, future financial position, expected growth of cash flows, business strategy, budgets, projected costs, projected capital expenditures, taxes, plans, objectives, industry trends and growth opportunities. Forward-looking information contained in this news release is based on certain assumptions regarding expected growth, results of operations, performance, industry trends and growth opportunities.
While management considers these assumptions to be reasonable, based on information available, they may prove to be incorrect. Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. These risks, uncertainties and other factors include, but are not limited to risks associated with general economic conditions; adverse industry events; marketing costs; loss of markets; future legislative and regulatory developments involving the renewable energy industry; inability to access sufficient capital from internal and external sources, and/or inability to access sufficient capital on favourable terms; the renewable energy industry generally, income tax and regulatory matters; the ability of the Company to implement its business strategies including expansion plans; competition; currency and interest rate fluctuations, and the other risks.
The reader is referred to the Company's most recent filings on SEDAR for a more complete discussion of all applicable risk factors and their potential effects, copies of which may be accessed through the Company's profile page at www.sedar.com.
SOURCE: RE Royalties Ltd.