Business & Finance
Business and Finance
Business and Finance
Fri, March 4, 2011 Global Ecology Executes LOI for Thermal Solar Energy Project in India
MONTCLAIR, NJ--(Marketwire - March 4, 2011) - Global Ecology Corporation (
Under the terms of the agreement, Global Ecology will form a U.S. subsidiary, GEC Energy Corporation, to be jointly owned by Esoft and Global Ecology.
Upon completion of definitive documents, GEC Energy Corporation will be assigned the rights to a $25 million Standby Letter of Credit from a AAA rated U.S. trust which will assist GEC Energy Corp. to secure funding for the purpose of developing its first thermal solar energy project in India.
Esoft currently has a memorandum of understanding (MOU) for the building of a 6 megawatt solar power plant. Esoft will assign the MOU to GEC Energy Corp. and provide the necessary financing. To launch the project, Esoft and its affiliate, Rubious Industries, have received working capital lending terms from a prime bank for a credit facility in the amount of $2.5 million.
GEC Energy Corp. also will market Global Ecology's environmental restoration technology throughout India. In addition, the chairman of Esoft, Vivek Sinha, will have an option to purchase 5 million shares of Global Ecology common stock at $0.50 per share.
Shannon Newby, Esoft's investment advisor, said, "The formation of GEC Energy Corp. will greatly enhance the value of the projects being considered in India. The size of this endeavor and the ability to access the public markets through Global Ecology is an attractive combination."
Peter Ubaldi, president & CEO of Global Ecology, said, "We are continuing to implement our strategy of seeking quality partners worldwide to market our technology and develop new environmentally friendly opportunities. Our discussions with Esoft are in the final stages and we are excited about this venture and confident of its success."
This news release includes forward-looking statements regarding, among other things, the company's business and financial plans, strategies and prospects. Although the company believes that its plans, intentions and expectations reflected in or suggested by these forward-looking statements are reasonable, it cannot provide assurance that it will achieve or realize these plans, intentions or expectations. Many of the forward-looking statements contained in this news release may be identified by the use of forward-looking words such as: believe, expect, anticipate, should, planned, will, may, intend, estimated, and potential, among others. Important factors that could cause actual results to differ materially from the forward-looking statements made in this news release include market conditions and those set forth in any reports or documents that the company may publicly file from time to time.
