GATINEAU, QC, Sept. 30 /CNW Telbec/ -- (BRC.UN) - Brookfield Renewable Power Fund (the "Fund") announced today that it is beginning construction of the Gosfield Wind project in the Town of Kingsville in Essex County, Ontario. The project will have an installed capacity of 50 megawatts (MW) and is expected to produce an average of approximately 150 GWh of power annually.
All power produced from Gosfield Wind will be sold at a fixed price to the Ontario Power Authority under a 20-year power purchase agreement and is expected to qualify for the Canadian Federal Government's ecoEnergy Program for Renewable Energy.
The Fund has obtained non-recourse debt financing commitments from two banks for the construction and first three years of commercial operation for the project. The equity portion will be funded from cash on hand and operating cash flows.
Gosfield Wind will utilize 22 Siemens SWT-2.3-101 turbines and Mortenson Canada Corporation will lead the project construction. The project will employ up to 150 workers during peak construction and has a target commercial operation date of late 2010.
"We're excited to have reached this important milestone," said Richard Legault, President and CEO of the Fund. "This project complements the Fund's strategy focused on high-quality, low-cost contracted renewable assets in attractive Canadian markets, while also supporting the goals of Ontario's recently introduced Green Energy Act. Once completed, the project is expected to generate enough carbon-free electricity to power 16,000 average Canadian homes, while providing meaningful local investment and economic benefits including job creation. We look forward to making Gosfield Wind a valuable addition to our renewable power portfolio."
About Brookfield Renewable Power Fund
Brookfield Renewable Power Fund (www.brpfund.com) is a premier Canadian income fund and one of the largest power income funds in North America with more than 1,600 megawatts of power generating capacity and average annual production exceeding 6,350 gigawatt hours.
The Fund produces electricity exclusively from environmentally friendly and renewable resources. The Fund indirectly owns or holds interests in 42 high quality hydroelectric generating stations and one wind farm in four distinct geographic regions across North America: Québec, Ontario, British Columbia and New England.
Brookfield Renewable Power Inc., which comprises all of the power operations of Brookfield Asset Management, owns 50.01% of the Fund's outstanding units on a fully exchanged basis.
The Units are listed for trading on the TSX under the symbol BRC.UN.
This news release contains forward-looking statements and information within the meaning of Canadian securities laws. Forward-looking statements may include estimates, plans, expectations, opinions, forecasts, projections, guidance or other statements that are not statements of fact. Forward looking statements in this press release include statements regarding the construction of the Gosfield Wind project and expectations regarding annual production, the project's eligibility for the Canadian Federal Government's ecoEnergy Program for Renewable Energy, target date for commercial operations, and economic impact. Forward-looking statements can be identified by the use of words such as "will", "continued", "intends", "positions", "expect", "look forward" or variations of such words and phrases. Although the Fund believes that its anticipated future results, performance or achievements expressed or implied by the forward-looking statements and information are based upon reasonable assumptions and expectations, it can give no assurance that such expectations will prove to have been correct. The reader should not place undue reliance on forward looking statements and information as such statements and information involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Fund to differ materially from anticipated future results, performance or achievement expressed or implied by such forward-looking statements and information.
Factors that could cause actual results to differ materially from those contemplated or implied by forward-looking statements include, but are not limited to construction risk, changes in wind conditions; equipment failure; failure by counterparties to fulfill contractual obligations and failure by the Fund to replace contracts; the Fund's dependence on Brookfield Renewable Power Inc. and potential conflicts of interest between Brookfield Renewable Power Inc. and the Fund; and other risks and factors detailed from time to time in the Fund's public filings including the Short Form Prospectus dated July 16, 2009 under the heading "Risk Factors"; the Annual Information Form dated March 20, 2009 under the heading "Risk Factors"; and the Management Discussion and Analysis of Financial Results for the fiscal year ended December 31, 2008 under the headings "Business Environment" and "Risk Factors". We caution that the foregoing list of important factors that may affect future results is not exhaustive. Except as required by law, the Fund undertakes no obligation to publicly update or revise any forward looking statements or information, whether written or oral, that may be as a result of new information, future events or otherwise.