Seeking Debt Funding For Future Projects
Perth, Mar 29, 2012 AEST (ABN Newswire) - Perth-based clean power company Enerji Limited (
ASX:ERJ) has appointed leading equipment finance broker Ledge Equipment Finance as part of the company's objective to move to debt financing major capital expenses associated with future orders of its Waste Heat to Power Systems.
Ledge Equipment Finance will act on behalf of Enerji to endeavour to secure a debt facility, allowing it an alternative funding source compared to issuing of shares to fund the purchase and installation of new Opcon Powerboxes and associated heat recovery equipment. Using debt finance would minimise future shareholder dilution.
Enerji firmly believes Waste Heat to Power Systems are suitable for debt financing as the business model is based on predictable revenues from electricity generated by the Opcon Powerbox and sold back to the customer under long term PPAs.
The Opcon Powerbox has the capacity to produce more electrical power without burning additional fuel, while also potentially lowering CO2 emissions by up to 15%. Customer savings from the Opcon Powerbox have been estimated at $3.8m after five years and $22.6m after 20 years for customers burning diesel to generate their power.
Enerji is installing its first Opcon Powerbox at the Carnarvon Power Station in the Gascoyne region of Western Australia. Commissioning at the Carnarvon project is expected at the end of April.
Contact
Enerji Limited
Greg Pennefather
T: +61-8-9268-3800
WWW: www.enerji.com.au
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