Oceanic Wind Energy Inc (TSX-V:NKW)
Shares Issued 84,027,896
Last Close NKW.H 1/25/2023 $0.05
Thursday January 26 2023 - News Release
Mr. Michael O'Connor reports
OCEANIC WIND RELEASES YEAR-END FINANCIAL RESULTS
Oceanic Wind Energy Inc. has released its financial results for the year ended Sept. 30, 2022. Oceanic is aminority owner of a Limited Partnership that holds the development rights to an offshore wind projectlocated in Hecate Strait off the coast of British Columbia, Canada (the "Project"). Northland Power Inc. (TSX:NPI) ("Northland"), a global offshore wind developer, owner and operator of sustainable infrastructureassets is responsible for the Project's development.
Upon Development of the project, Oceanic has the right to receive the following:
upon the project reaching its financial close, as defined in the Agreements, a payment based on the size of the developed project ($67,500 per installed megawatt ("MW") to a maximum of $33,750,000);
upon the project becoming operational, future payments consisting of 35% of annual cash distributions from the project after the operating costs and a specified return on equity have been recovered by Northland; and
subject to financial close of the project, an option to purchase up to a 10% interest in Northland's interest in their project.
An overview of Oceanic's year-end results includes:
As at September 30, 2022, Oceanic had $49,926 in cash and cash equivalents, compared to $238,303 at September, 30 2021. Subsequent to yearend the Company closed on a private placement raising $250,000.
For the fiscal year ended September 30, 2022, Oceanic incurred a net loss of $0.4 million ($0.01 per share), compared to $.3 million ($0.00 per share) for the year ended September 30, 2021.
The wind project is the only project of significant utility scale in the region and with the remarkable advancesin offshore wind development, the project is competitive to help meet the long-term electricity needs ofBritish Columbia. It can help the province meet it's 2030 CleanBC policy objectives and reduce the provincesdependance on hydrocarbons for over 70% of their energy. With Northland as the developer, the need forrenewable energy to power BC's future, and the strong support from the federal government to reduce GHG to support Climate Change commitments, Oceanic remains optimistic the project will be developed in thenear future.
We seek Safe Harbor.