23rd Dec 2009 07:01
23 December 2009
MAPLE ENERGY PLC
("Maple" or the "Company")
Maple Energy plc signs agreement for Ethanol Plant Construction and Electric Transmission and Distribution Facilities
Maple Energy plc (AIM: MPLE; LIMA: MPLE), an integrated energy company with assets in Peru, is pleased to announce today that, on 15 December 2009, the Company executed an agreement with Haug S.A., a Peruvian engineering and construction company ("Haug"), for certain works related to its ethanol project (the "Ethanol Project").
Maple will pay Haug approximately US$25.3 million for the performance of all the works, including the installation of all major pieces of equipment for the Ethanol Project's ethanol plant (the "Ethanol Plant"), as well as the design, engineering, procurement and construction of the electric transmission and distribution system to connect the Ethanol Project facilities to the Peruvian power grid.
Under the terms of the agreement Haug will install the equipment for the Ethanol Plant, which is designed to have the capacity to process approximately 5,000 tonnes of sugar cane per day, produce up to approximately 35 million gallons of fuel-grade ethanol per year, and generate up to approximately 37 megawatts of electric power. Most of the major equipment to be installed by Haug is being procured by Maple through separate supply agreements with various suppliers including Uni-systems, Inc., Allsoft Engenharia e Informatica Industrial (also know as Mitre), Praj Industries Limited and Siemens AG.
Haug will also design, engineer, procure and construct certain electric transmission and distribution facilities for the Ethanol Project including a 36 kilometer, 60 kilovolt transmission line that will connect the Ethanol Plant to the Peruvian power grid near the city of Piura. These facilities will allow Maple to supply power to the Ethanol Project including the power required to operate the main water conveyance system and the drip irrigation system for the sugar cane plantation. These facilities will also allow Maple to supply any excess power produced to the Peruvian power grid for sale to third parties.
The Company has a 90-day notification period, from the date of execution of the agreement, in which it can instruct Haug to commence work under the agreement.
Rex Canon, CEO of Maple Energy, commented:
"We continue to make excellent progress with our Ethanol Project and are pleased with this latest development. We anticipate Haug will commence work under this agreement during the first quarter of 2010 and will be substantially complete by the first quarter of 2011."
For further information, please contact:
Maple Energy plc (+ 51 1 611 4000)
Rex W. Canon, Chief Executive Officer, President and Executive Director
Jefferies International Limited: (+44 20 7029 8000)
Jack Pryde
Paul Wheeler
Schuyler Evans
Citigate Dewe Rogerson (+44 20 7638 9571)
Martin Jackson
Emma Woollaston
About Maple Energy
Maple is an integrated independent energy company, listed in London and Lima, with assets and operations in Peru engaging in numerous aspects of the energy industry, including:
Maple was admitted to AIM on 13 July 2007 and trades under the symbol "MPLE". The company was also admitted to the Lima Stock Exchange on 21 December 2007 where it trades under the same symbol.
Operations
Maple's operations are conducted and revenues are generated through its wholly-owned subsidiaries. Maple's principal operations consist of the following:
Crude Oil Production. Operator and holder of 100% working interests in its crude-oil producing properties, Blocks 31-B, 31-D and 31-E;
Refining, Marketing and Distribution Operations. Operator of the Pucallpa Refinery and Sales Plant, which has capacity to refine up to (i) 3,400 barrels per day of crude oil producing Residual 5 fuel oil, (ii) 3,000 barrels per day of crude oil producing Residual 6 fuel oil or (iii) 4,100 barrels per day of natural gasoline. This plant also includes sales and distribution operations in the central Peruvian jungle, central Peruvian highlands and Lima regions;
Ethanol Project. Project developer and major shareholder in an estimated US$222 million (excluding value-added taxes, debt service reserve account, and interest during construction) ethanol project located in the Piura Region on the northwest coast of Peru;
Oil and Gas Exploration. Significant exploration opportunities through a:- 100% working interest in Block 31-E, containing the San Roque and Cashiboya Deep prospects and the new shale gas opportunity; and- 33.77% working interest in the Aguaytía Deep Prospect in Block 31-C.
Forward-Looking Statements
Statements contained in this document, particularly those regarding possible, projected, or assumed future performance and results, including growth outlook, forecasted economics, operations, production, contracting, costs, prices, earnings, returns, and potential growth, are or may include forward-looking statements. Such statements relate to future events and expectations and as such involve known and unknown risks and uncertainties. These risks and uncertainties include, among other things, market conditions, weather risks, economic and political risks, and other factors discussed in Maple's Admission Document available on the Company's website (www.maple-energy.com). Forward-looking statements are not guarantees of future performance or an assurance that Maple's current assumptions and projections are valid. Actual results, actions, and developments may differ materially from those expressed or implied by those forward-looking statements depending on a variety of factors. Furthermore, any forward -looking statements presented are expressed in good faith and are believed to have a reasonable basis as of the date of this release. These forward-looking statements speak only as at the date of this release, and Maple does not assume any obligation to update any forward-looking statements, whether as a result of new information, future events, or otherwise.
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