ABBOTSFORD, BRITISH COLUMBIA – (Uptick Newswire – May 5, 2017) – Biomass Secure Power Inc. (OTC: Pinksheets: BMSPF). Biomass Secure Power (BSP) is pleased to advise shareholders that the Company has entered into long term fibre supply agreements with a number of suppliers in the Natchitoches Louisiana area. The agreements are for fifteen (15) years with pricing to be set on a quarterly basis. The fibre requirement for phase one is fully secured from sustainable sources in accordance with Sustainable Biomass Partnership (SBP) requirements. Work is continuing with the detailed engineering and 3D modelling of the Natchitoches plant with the assistance of the chosen EPC contractor Amec Foster Wheeler, in preparation for construction scheduled to start upon completion of an independent engineering review ordered by Bank of America Merrill Lynch. This review is currently underway.
The Proprietary Intellectual Property being implemented at Natchitoches will position the Company as a leader in the supply of an alternative fuel to replace coal. Inquiries have been received from several industrial sectors indicating that once they see phase one in operation demand for Biocoal will be in multi million tonne per year.
A twenty year (20) agreement to purchase 200,000 tonne per year is in place producing projected annual sale in excess of $40 million.
Phase one of three planned phases is 240,000 metric tonnes that will increase to one million tonne per year when phase two and three are completed. Biocoal is a torrefied product used to generate both heat and power for residential and industrial purposes. Biocoal can be used as an alternate fuel to coal in most circumstances. The advantage over white pellets is that little if any CAPEX is required to convert power plants from coal to biocoal, whereas white pellets require a significant investment to convert.
About the Company
Biomass Secure Power Inc. is incorporated in the Province of British Columbia. On May 4, 2016 The Company signed a non-binding Memorandum of Understanding with River Basin Energy to merge the companies and build a biocoal plant at the Port of Natchitoches, Louisiana. Public filings and financial information for Biomass Secure Power Inc. can be found at www.sedar.com.
Safe Harbour Statement:
This information includes certain “forward-looking statements”. The forward-looking statements reflect the beliefs, expectations, objectives and goals of the Company management with respect to future events and financial performance. They are based on assumptions and estimates, which are believed reasonable at the time such statements are made. However, actual results could differ materially from anticipated results.
On Behalf of the Board,
BIOMASS SECURE POWER INC.
Jim Carroll, President – CEO