Fibrek to sell Hydro-Quebec 33.23 MW of green energy
2012-05-04 16:33 ET - News Release
Mr. Pierre Gabriel Cote reports
FIBREK SIGNS HISTORIC CONTRACT WITH HYDRO-QUEBEC DISTRIBUTION
Fibrek Inc. has concluded an agreement for the sale of green energy produced at its co-generation facilities located at the Saint-Felicien mill, in connection with Hydro-Quebec Distribution's power purchase program for electricity derived from forest biomass co-generation (PAE 2011-01), which was launched on Dec. 20, 2011.
The 33.23 megwatts of green energy currently produced by Fibrek will be sold to Hydro-Quebec Distribution beginning on May 5, 2012, at a price of $106 per megawatt per hour, indexed to the consumer price index (CPI) for a 25-year period. The contract will generate approximately $16-million a year in EBITDA.
"This production will further increase the previously announced 9.56 megawatts that Fibrek will be supplying to the government corporation starting in December, 2012. By the end of this year, the Saint-Felicien mill will be producing 42.79 megwatts in green energy for Hydro-Quebec Distribution," said Pierre Gabriel Cote.
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