News

Canadian geothermal developer Borealis GeoPower about to be acquired

Geothermal Hot Spring near Canoe Reach, Valemount, BC/ Canada - site of a project by Borealis GeoPower (source: Matt Morrison)
Alexander Richter 7 Jul 2017

Canadian geothermal developer Borealis GeoPower is about to be acquired by P Squared Renewables, a listed capital pool company following an agreement reached between the owners of Borealis and P Squared.

In release yesterday, P Squared Renewables Inc. (TSXV: PSQ.P) announces having entered into a binding term sheet with Canadian geothermal developer Borealis GeoPower Inc.  and the shareholders of Borealis which sets out the material terms and conditions pursuant to which the parties have agreed to complete a transaction that will result in Borealis becoming a wholly owned subsidiary of P Squared. The Transaction is to be the Qualifying Transaction of P Squared pursuant to Policy 2.4 of the TSX Venture Exchange. The Term Sheet was negotiated at arm’s length and is effective as of July 1, 2017.

Borealis GeoPower

Borealis is a Renewable Geothermal Energy Company with its head office in Calgary, Alberta that will access heat from geothermal wells to produce renewable power and heat. Borealis is incorporated under the Canada Business Corporations Act . The Company has two geothermal energy projects in British Columbia, both of which are in the exploration stage and are drill bit ready. The Company’s flagship project is the Canoe Reach Energy Project located near Valemount, British Columbia where the Company intends to build a 15 MW power plant. The Company plans to sell the power to BC Hydro as well as to other customers via direct electricity sales. As part of the Canoe Reach Energy Project, the Company intends to also build “Sustainaville”, a geothermal energized commercial “Geo-Park” that will offer geothermal renewable power and heat alternatives along with the ability to grow a diversified local economy supporting food, forestry, mining, tourism and community district heating.  The Company’s other project is the Lakelse Lake Energy Project located near Terrace, British Columbia that is being developed in conjunction with Borealis’s First Nation partner. The Company has a 49% interest in this Project.  The plans for this Project include a 15 MW power plant and an associated Geo-Park for Greenhouse operations.

Borealis has developed proprietary geothermal exploration technology with the support of Canadian funding agencies for:

  • optimized geothermal exploration methodology; and
  • advanced exploration data analysis and reservoir characterization for geothermal resources.

A summary of any significant financial information with respect to Borealis will be included in a subsequent news release.

P Squared Renewables

P Squared is a Capital Pool Company, that was incorporated under the provisions of the Business Corporations Act (Alberta) on March 10, 2017. P Squared was listed on the TSXV on June 21, 2017 under the trading symbol “PSQ.P”.  P Squared has 11,000,000 common shares (“P Squared Shares”) outstanding and options exercisable or exchangeable for an aggregate of 1,100,000 P Squared Shares at an exercise price of $0.10 per P Squared Share. It is a capital pool company and intends for the Transaction to constitute its “Qualifying Transaction” as such term is defined in the policies of the TSXV. P Squared is a “reporting issuer” in the provinces of Alberta and British Columbia.

Further details via the link below

Source: Company release via Stockhouse