Wasabi Energy with full ownership in Global Geothermal
Kalina geothermal power plant, Húsavík, Iceland (source: flickr/ ThinkGeoEnergy, creative commons)
Alexander Richter
17 Jan 2011
Australian Wasabi Energy moves to 100 percent ownership position in Global Geohtermal Limited, through the acquisition of a series of minority ownership interests.
In a release by Wasabi Energy (ASX:WAS, AIM:WAS) the company announces “it has moved to a 100 percent ownership position in Global Geothermal Limited, through the acquisition of a series of minority ownership interests. The consolidated ownership of Global Geothermal Limited provides parent company Wasabi Energy with the necessary freedom-to-operate, in relation to effectively commercializing the patented Kalina Cycle®2 technology portfolio.
The consolidation in the ownership of Global Geothermal Limited by Wasabi Energy consists of three separate transactions. A summary of each of these transactions is outlined below:
The closing of the purchase of 3.2 percent of Global Geothermal Limited from Greenearth Energy Limited3, resulting in Wasabi Energy’s direct holding in Global Geothermal Limited increasing to 94.9 percent.
An in principle agreement with Exergy Inc4 for the purchase of their 4.4 percent holding in Global Geothermal Limited. This purchase remains subject to Exergy Inc shareholder approval which is expected to be sought in the near future.
An agreement with all Global Geothermal Limited option holders that involves Wasabi Energy purchasing all outstanding options in Global Geothermal Limited at a price equivalent to the transaction with Greenearth Energy Limited.
Once finalized, the transactions outlined today, collectively represent the final stage of a comprehensive ownership and intellectual property consolidation process which commenced in 2005. In addition to the commercial advantages of Wasabi Energy’s move to 100 percent ownership, the consolidated ownership structure is also expected to simplify the regulatory and compliance obligations of Wasabi Energy in relation to its now fully owned subsidiary, Global Geothermal Limited.
Executive Chairman of Wasabi Energy and Director of Global Geothermal Limited, Mr. John Byrne commented: “This announcement today marks another significant milestone for Wasabi Energy. Through our acquisition of Global Geothermal Limited and in turn its own wholly owned subsidiary Recurrent Engineering LLC, Wasabi Energy has obtained complete ownership of the core Kalina Cycle® technology portfolio.”
“Given the unprecedented interest in energy efficiency technologies, we believe having complete control over the Kalina Cycle®, provides Wasabi Energy with a strategic and globally significant opportunity.”
“Our goal of systematically and diligently acquiring and consolidating the ownership interests and the intellectual property relating to the Kalina Cycle®, a technology which has been operating commercially for more than a decade, has today been realised. We now look forward to leveraging our ownership of this highly efficient power cycle technology, to deliver innovative solutions to energy intensive industries through strategic partnerships, as well as building a profitable renewable energy power generation portfolio.”
Source: Company release via PennEnergy
