Blue Earth announces binding MOU to build and operate PV projects
Blue Earth, Inc., a renewable energy and energy efficiency services company, recently announced that its wholly owned subsidiary, Xnergy Inc., has entered into a binding memorandum of understanding (MOU) to construct six solar PV projects in New Jersey. The engineering, procurement, and construction (EPC) revenue for the company is approximately $20 million. Under the agreement, Xnergy will provide EPC services for the approximate 12.6 MW of solar PV projects. The EPC work is expected to commence in the third quarter of 2013 and be completed during the first quarter of 2014.
In addition, BBLU expects to finish several company-owned solar PV projects and commence construction on other BBLU-owned solar PV projects during this third quarter. According to the companies, a significant portion of the cash used for operations in the second quarter and the cash being used in the current quarter is for project development, as opposed to corporate expenses. These dollars are expected to be returned to treasury when projects are completed, through the sale of some projects or through a combination of tax equity investors and debt, which allows BBLU to retain ownership and make these projects part of its independent power producer portfolio.