Construction of Mackenzie Bioenergy Project on Hold
Wednesday, November 21, 2012 @ 3:58 AM
Prince George, B.C.- Conifex is delaying construction of its bioenergy project in Mackenzie until it has secured long term financing.
The company says it has received its turbine generator at the facility, that the bioenergy project is about 30% complete and is “on time and on budget.” While construction and installation activity are being temporarily suspended, Conifex will continue with engineering and equipment purchasing.
Conifex CEO, Ken Shields, says "While it is disappointing to have to reduce expenditures on the project over the next few months, we concluded that it was more important for us to have the best possible financing in place to ensure that an optimal value is realized for Conifex and its shareholders over the 20-year term of our energy purchase agreement with B.C. Hydro," said Ken Shields, Chief Executive Officer of Conifex. "We remain optimistic that we will identify appropriate financing for the Bioenergy Project that makes sense for Conifex."
Negotiations with a potential lender who was seeking an equity interesting the project have been terminated, the company says it is continuing discussions about long term financing with several lenders.
The project was expected to be on line in the third quarter of 2013.
Comments
Great….just great..
I’ve been on the other end, waiting for owners to get money in place. Thanks for doing the right thing Conifex.
Smart business move. Hope the financing comes about.
Financing should not be a problem! Put this on Management
What was BC Hydro paying for this green power? Probably $120.00 per megawatt. Far in excess of the tier 2 power cost we homeowners now see each month.
All these private Liberal government generated power projects are doing nothing but driving up the cost of energy for the consumer.
I love the lumber industry’s feeble attempts to get things done. Don’t worry. Some day, if you people are real nice to Enbridge, you’ll get real jobs…
Right on resident. Energy, funky name for wood burning. Contract with Hydro probably was not high enough for the investors.
Well….really the plants primary purpose is to create energy for Conifex’s Sawmills in Mackenzie. The excess power is what they plan on selling to BC hydro….which is what anyone would do if they had the ability. Unfortunately Conifex has lost money over the last little while so I think the Finance people were probably getting a little bit restless and were looking to re-negotiate the terms of the construction contract.
While this plant would create some permanent jobs, its primary purpose is to reduce Conifexs operating costs and bring them around into profitability.
http://www.youtube.com/watch?NR=1&feature=endscreen&v=mwXdAPaEmS8
Ask Christy Palin…or Ask Sara Mcnytire
Lumber prices are up. $320.00 per 1000 FBM, so Conifex should start making a profit, along with the other mills in BC.
Sales to China will plummet, and sales to the US will rise.
Have a nice day.
Pray tell, what does a six month old video have to do with a private firm and financing for a bio engergy plant in Mackenzie?
Get a life .
November 20, 2012
To Whom It May Concern,
“It is with a deep sense of regret that I have accepted the resignation of My Board of Directors for the BC Liberals â Abbotsford South Riding. With this letter, I also am resigning as President of the Abbotsford South Riding Association.
The purpose of a Riding Association is three fold: 1. to sign up members; 2. to raise funds to support a campaign; and, 3. to help find and select a candidate. After being notified that Darryl Plecas will be acclaimed by the Green Light Committee for the nomination of the Riding of Abbotsford South, the Riding Association was left with no other response by to resign.
The appointment of Darryl Plecas was both unfair and not democratic. The Riding Association was not consulted on this appointment. If the Riding was consulted, the Riding Association would have stated that the memberships and Riding Association Funds were not generated by Darryl Plecas nor his campaign team. The only reason for Darryl Plecasâ appointment was that he could not defend a challenge from Moe Gill if there was a fair nomination process. This leads to the question that if Darryl canât beat Moe Gill in a fair nomination process, how can he win against John van Dongen in an election?
It is also important to note that Darryl Plecas is an untested politician. It is also alleged that Rich Coleman and Darryl Plecas are related in some manner.
If you have any questions, please feel free to contact me directly by dialing (604) 309 â 1932 or via email at jenna_10@telus.net.”
Sincerely,
Stephen Evans
Past-President
http://www.abbotsfordtoday.ca/?p=96126
Very interesting …. no wonder the Mackenzie plant has not solidified its funding yet.
I see the connection …
1. premier does not answer questions in April because someone sent out a false media notice … (maybe criminalmind knows something about that?)
2. President of the Abbotsford South Riding Association resigns …..
The pieces are all falling into place quite well ….. LOL
I think criminal mind has lost his criminal mind. Try to stay on topic psycho.
Well let me spell it out..
Ever hear of Bains capital? Or Fortress, remember Fortress hedge fund, they put their hooks into Millennium development, Millennium built the Vancouver Olympic village, the rates for financing were usury, Vancouver city had to borrow $800 million dollars and pay off the Fortress loan sharks..
This company has only been offered similar financing, rates and terms that are so onerous, they might as well not even build the thing if only the finance company makes money..
Hence the problem, perhaps Rich Coleman and Patrick Kinsella can come to an arrangement, eer, I mean to the rescue.
http://2010goldrush.blogspot.ca/2012/11/liquorleaks-turns-into-liquorflood.html
http://www.biv.com/article/20121120/BIV0109/121129994/0/SEARCH/Government-keeps-quiet-on-Telus-compensation-over-BC-Place-debacle
For the Fortress Olympic village scandal, details here.
http://powellriverpersuader.blogspot.ca/2010/03/npa-millennium-developmentthe-big-fraud.html
This is a great project and with lumber at $320 and going up… options should be opening up for the company to get a deal that works for them. Not sure why Northern Trust wouldn’t be working on this one?
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