Canadian AltaGas buying into Magma Energy Corp.
Alexander Richter
27 Feb 2009
Canadian AltaGas Income Trust has invested "Can$ 10 million (US$ 8) to acquire a 5% equity position in Magma Energy Corp.
Announced by the company in its annual results for 2008, Canadian AltaGas (Income Trust, TSX:ALA.UN) has invested “Can$ 10 million (US$ 8m) to acquire a 5% equity position in Magma Energy Corp. “AltaGas Income Trust is a gas and power infrastructure business. Its gas business comprises gathering and processing assets, such as natural gas gathering pipelines and processing facilities.”
Magma Energy Corp., blogged about before (here), is a private Canadian company focused on the exploration, development and operation of geothermal energy projects and has currently bid for geothermal concessions in Chile.
“AltaGas also received the right to acquire a direct interest in certain future geothermal projects developed or acquired by the company. Magma Energy Corp. currently owns and operates an 8 MW geothermal energy plant in Nevada as well as a portfolio of geothermal exploration and development projects in the western United States, Argentina, Chile, Nicaragua and Peru.”
This statement makes it possible to provide an estimate of the total evaluation of Magma Energy Corp. of around Can$ 200 million (US$ 160m). The increasing interest of
Source: Company announcement via Marketwire
