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Nevada Geothermal Power closes Blue Mountain transfer to EIG

Blue Mountain Faulkner-1, geothermal power plant, Nevada (source: Nevada Geothermal Power)
Alexander Richter 2 Apr 2013

Nevada Geothermal Power and EIG Global Energy Partners close the equity and collateral transfer agreement for the Blue Mountain Faulkner I geothermal power plant in Nevada.

Canadian geothermal developer Nevada Geothermal Power announces in a recent release that the Company and funds managed by EIG Global Energy Partners, the mezzanine lender for the Blue Mountain Geothermal Project,  closed the Equity and Collateral Transfer Agreement on March 28, 2013 (as reported this January on ThinkGeoEnergy).

“EIG has accepted the transfer of ownership of NGP Blue Mountain Holdco LLC (“BM Holdco”) in full satisfaction of all amounts owing under BM Holdco’s loan agreement with EIG.  NGP received $500,000 in satisfaction of a current account receivable from BM Holdco.

Nevada Geothermal Operating Company LLC (Opco) will continue as project operator of the Faulkner 1 geothermal power plant during a cooperative transition period of up to twelve months. EIG may provide written notice at any time during the transition period, electing to replace the operator or purchase Opco for a nominal amount plus the value of the then existing working capital.

Reported last week, and effective April 2, 2013, the Company will change its name to Alternative Earth Resources Inc., and complete a five for one share consolidation.  Alternative Earth retains its ownership interests in four geothermal development properties in the western US (Crump Geyser, New Truckhaven, Pumpernickel and North Valley).”

Source: Company release through CNW