Press release from TheNewswire.ca
Viridis Energy's Scotia Atlantic Biomass and Ekman & Co. Enter into a Sales and Marketing Agreement
Wednesday, July 24, 2013
Viridis Energy's Scotia Atlantic Biomass and Ekman & Co. Enter into a Sales and Marketing Agreement14:30 EDT Wednesday, July 24, 2013
Agreement Covers Scotia's Total Production Over 24-Month Period
Vancouver, BC - July 24, 2013 - Viridis Energy Inc. ("Viridis" or the "Company") (TSXV: VRD) announced today that its wholly owned subsidiary, Scotia Atlantic Biomass Company, Ltd. ("Scotia") has entered into an agreement with Ekman & Co AB. ("Ekman"), one of the world's oldest trading houses and wholesalers of forest products, under which Ekman will serve as Scotia's exclusive worldwide agent to market its entire wood pellet production. Under the terms of the agreement, Ekman will provide Scotia with the best possible sales opportunities at all times, including sales into different markets and market segments. The agreement covers an initial period of 24 months and an aggregate projected wood pellet production of up to 240,000 metric tons.
Viridis purchased Scotia, one of largest wood pellet manufacturer in Canada, in 2012. Scotia's operation sits on a 157 acre property, including a 22 acre wood lot. Scotia's production is expected to begin this month after several months of refurbishing and calibrating operations. Its proximity to shipping ports, in addition to the quality its product, positions Scotia as a key supplier of wood pellets to Europe where the demand for renewable energy sources, especially from commercial energy suppliers, is fast growing.
Ekman, founded in 1802 and based in Gothenburg, Sweden, specializes in all facets of the supply chain of forest related products, including sales, distribution, infrastructure support and financial services, such as insurance, trade financing, credit and interest rate risk and currency hedging. With revenue exceeding $2.3 billion and assets nearing $300 million, Ekman maintains 40 offices in 24 countries throughout Europe, the Middle East, North and South America, Asia and the Pacific Rim.
Commenting on the agreement, Christopher Robertson, Viridis Energy's CEO, said, "The re-opening of the Scotia operations is a significant accomplishment towards achieving our goal of 1,000,000 metric ton capacity. We received outstanding cooperation and support from local Nova Scotia authorities and vendors to reach this point." Mr. Robertson continued, "Partnering with one of the world's foremost forestry industry experts for the off-take production of our Scotia operations has given us a high level of confidence in the growth prospects of the wood pellet market. Ekman has built an excellent reputation over its 210 year history as a 'go to' service provider and authority in the paper and pulp industries. We look forward to building a mutually beneficial relationship with such a value-added partner."
Jan Svensson, Ekman Group's chief executive officer, added, "Ekman prides itself for being able to identify opportunities in shifting global market conditions. Our focus on forest products has provided us with a dynamic medium through which we can react to evolutionary trends and use our organizational skills to add value to the supply chain. Working with seasoned, wood pellet professionals like Viridis is a natural progression for Ekman to further pioneer forest products as a sustainable, renewable resource."
----------------------------------------------------- |Company Contact: Michele | Johan Granath | | |Rebiere Chief Financial |Senior VP Bioenergy| | |Officer Viridis Energy Inc |Ekman & Co +46 703 | | |905-847-5226 |49 5527 | | |firstname.lastname@example.orgemail@example.com| | -----------------------------------------------------
About Viridis Energy Inc.
Viridis Energy Inc. (TSXV: VRD) is a publicly traded, "Cleantech" alternative energy company specializing in the agricultural and wood waste biomass. Located in Vancouver, B.C., Viridis Energy operates Cypress Pacific Marketing, Okanagan Pellet Company and Scotia Atlantic Biomass, thus providing the company with vertical integration for distribution and manufacturing as well as coast to coast national presence. For more information on Viridis Energy Inc. please refer to the company website at www.viridisenergy.ca .
Certain statements in this release are forward-looking statements, which reflect the expectations of management regarding the Company's future operations. Forward-looking statements consist of statements that are not purely historical, including any statements regarding beliefs, plans, expectations or intentions regarding the future. Such statements are subject to risks and uncertainties that may cause actual results, performance or developments to differ materially from those contained in the statements. No assurance can be given that any of the events anticipated by the forward-looking statements will occur or, if they do occur, what benefits the Company will obtain from them. These forward-looking statements reflect management's current views and are based on certain expectations, estimates and assumptions which may prove to be incorrect. A number of risks and uncertainties could cause our actual results to differ materially from those expressed or implied by the forward-looking statements, including: (1) a continued downturn in general economic conditions in North America and internationally, (2) the inherent uncertainties associated with the demand for biofuels, (3) the risk that the Company does not execute its business plan, (4) inability to finance operations and growth (5) inability to finance the start-up operations in Nova Scotia in a timely manner (6) inability to retain key management and employees, (7) an increase in the number of competitors with larger resources, and (8) other factors beyond the Company's control. These forward-looking statements are made as of the date of this news release and the Company intends to update such forward looking information in the Company's MD&A in the event that actual results differ materially from such forward-looking statements contained herein. Additional information about these and other assumptions, risks and uncertainties are set out in the "Risks and Uncertainties" section in the Company's MD&A filed with Canadian securities regulators.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
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