Wednesday, January 13, 2010

Rising Energy Demand

Rising energy demand and climate change are major issues facing our society today. Plutonic Power Corporation is uniquely positioned to address these two significant global phenomena through the development of its environmentally friendly renewable energy projects.


Top reasons to invest in Plutonic Power Corporation


Large development portfolio
Plutonic Power has one of the largest renewable power development portfolios in Canada. Currently, the company has applied for or holds licenses on 40 rivers in the province, on which nearly 2000 MW of renewable green power generation could be developed. The Company has also identified a number of future development sites in BC.

Projects under construction
Plutonic Power was awarded the largest Energy Purchase Agreement from BC Hydro's 2006 Call for Tender. This has lead to the construction of the 196 MW East Toba River and Montrose Creek Hydroelectric Project (Toba Montrose Project) located in south-west British Columbia. Plutonic, and financial partner General Electric Energy Financial Services, have commissioned Peter Kiewit Sons to build this $660 million project. Construction of the project began in June 2007 with an opening ceremony attended by government, community and First Nations leaders, including BC Premier Gordon Campbell. The Toba Montrose Project is expected to be completed mid-2010 and will be the largest run-of-river project in the province.

Future Calls for Power
Plutonic Power is currently pursuing two project proposals under the 2008 Clean Power Call. The Upper Toba Valley Project consists of 3 project sites with a total potential generating capacity of approximately 166 MW and the Bute Inlet Project consists of 17 project sites with a total potential generating capacity of approximately 1027 MW.

Rising electricity prices
Most analysts expect that energy prices will remain high for the foreseeable future. High energy prices benefit Plutonic by further strengthening the economic case for renewable power.

Emission Reduction Credits revenue opportunity
Emission reduction credits (ERCs) are negotiable financial instruments that represent an offset of greenhouse gases. It is expected that within the next few years these offset credits could represent substantial financial value. Some of Plutonic's projects may have the potential to offset hundreds of thousands of tonnes of greenhouse gases a year, thus creating further value for shareholders.

Continued need for domestic electricity supply
Domestic demand has been increasing at a compounding 2% per year. The Independent Power Producers Association of BC has determined that it is far less expensive for the province to buy domestically-generated power than to import from the United States and Alberta. There is an urgent need for the development of domestic power generation in BC. Plutonic Power is well positioned to help BC meet this electricity need.

Long term assets
Once built, Plutonic's suite of renewable energy projects are designed and engineered to operate for decades, thus providing a long and stable stream of cash flow to investors.

No commodity fuel risks
Unlike gas and coal generated power plants, which are economically affected by changes in commodity prices, Plutonic's projects are powered by rainwater, glacial runoff and wind. On the sales side, energy purchase agreements are normally made under long term contracts (25-40 year terms), which are annually inflated according to a CPI escalator. EPA's are made with high credit buyers such as BC Hydro, a provincial crown corporation with an S&P credit rating of AA.

Non-depleting and renewable resource
Unlike oil and gas, the resource that will power the Company's projects, rainwater, glacial runoff and wind are completely renewable and non-depleting. A renewable resource is defined as energy source that can be replenished through natural processes or through sustainable management practices within one human life span.

Tight Capital structure
Plutonic has approximately 65.2 million common shares outstanding and 70 million shares fully diluted outstanding.

Insider ownership
Management, Directors and Insiders of the company own approximately 15% of the outstanding shares.

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