how to make almost 40% on a secured loan
N E W S R E L E A S E
October 5, 2005
The Company has entered into a loan agreement with a shareholder of the Company who has agreed to provide loan US$550,000 (CDN$660,000) to the Company. The loan proceeds will be used to purchase the Windridge Generating Assets, as disclosed in the Company’s news release dated July 5, 2005.
The term of the loan is one year. The Company has agreed to pay interest to the shareholder at a rate of 18% per annum, payable monthly. The Company has also agreed to issue a trust deed in
favour of the shareholder to secure payment of the loan.
In consideration of the shareholder providing the loan, and subject to regulatory approval, theCompany intends to issue to the shareholder a bonus of 82,500 common shares of the Company
at a deemed price of $1.60 per share, or such other number or price acceptable to theTSX Venture Exchange.