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Interview with Sunbay Energy Corp. President, Jordan Oxley, trip to Port Hope, Ontario.
| Please note that all materials, research and due diligence contained in this section is, to the best knowledge of our editors, accurate up to the Fall of 2009. Be advised that TimelessWealth.net has not published nor distributed research or information pertaining to Wireless Age Communications, Inc. or affiliated parties, since. |
Dear Subscriber,
This past weekend I took the liberty of heading east to Port Hope, Ontario, future residence of our waste-to-energy power plant operating under efficient and environmentally conscious plasma gasification technology.
There was a gentleman kind enough to provide me with an interview which I caught on tape and plan on sharing with you shortly (as I resolve technical issues in converting the footage). I took several photos of the surrounding area, downtown Port Hope as many refer to it, as well as the office itself. This is the first company I have come across that has dedicated an office simply for the purpose of raising awareness in their community. Naturally, the public has responded very well to this clean energy solution, as it also resolves the waste management issue. The gentleman was simply a citizen putting in extra hours on a Saturday afternoon, yet he was well informed of the plans Sunbay Energy Corp. was pursuing, as well as the technology. Assuming he attended Sunbay's monthly 'Speaker Series', he commented on the Mayor attending numerous times.
Below are the numerous photos I took during my trip, of the surrounding area, and Sunbay Energy Corp.'s office, so please feel free to take a glance at those and share the perspective I had when entering the spacious office in the heart of Port Hope, Ontario. (you may view all images here) or view them below:
- DowntownPort Hope, Ontario. Click here
- Sunbay Energy Corp.'s office in the heart of the city. Click here
- Map of the region, the office walls were covered in professional photos of the technology, the proposed design to the plant, etc. Click here
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Within the office, the walls are decorated with professional images of the technology, their partners, and several other crucial pieces of information.
Here are a few images that briefly capture an overview of the image plastered walls. Image 1 Image 2 Image 3 - Adjacent to most of the images listed (above), there is a large map of Port Hope, a map of the terrain and surrounding area. Click here
- Turtle Island Recycling, feedstock supplier. Image 1 Image 2 Image 3
- Europlasma, strategic (cash-rich) experienced partner and supplier of patented plasma torch technology. Image 1 Image 2
- Slag, residue leftovers from thermal treatment, completely harmless, non-toxic, has numerous purposes such as road pavement. Image 1 Image 2
Late last week, Jordan Oxley gave me the opportunity to interview him while he was on a business trip with Simmonds planning another plasma gasification project in Connecticut. Below I will list notes that I took in Q&A format. The interview lasted over an hour, during which period Oxley neither hesitated nor attempted to brush me off but encouraged inquiring and raising awareness of this project. I was impressed with his energy and understanding of the business.
Questions associated with Oxley's past experience in finance and energy...
Q: What is your relationship with Strategy Energy Inc.?
A: Strategy Energy Inc. was a division of Strategy Insurance, a company where I served as an executive Vice President. I am not longer with the company, therefore I cannot comment on their current operations.
Q: What is your relationship with Sun Energy Group, LLC and D'Juan Hernandez? What is the state of the plasma gasification plant being built in New Orleans?
A: Sun Energy Group, LLC was a company I co-founded with Mr. Hernandez. There was a conflict of interests as I began persuing other projects, therefore I resigned. As I have not been intimitely involved with the company for a few years I cannot comment on their operations, however, I am confident that the New Orleans project is progressing.
Q: Do you reserve any ties to NRG Energy Inc. management, executives, through D'Juan Hernandez or otherwise?
A: I have several contacts which I may bring up. I am familiar with current and former Executives of the company.
Q: What is your relationship to Powerplay Energy Corp.?
A: Powerplay Energy Corp. can be thought of as the parent company of Sunbay Energy Corp. It is a holding company, operating under virtually the same management as Sunbay.
Q: What impression do you reserve in regards to Sunbay's role in the Green Energy Act of Ontario?
A: Sunbay meets the criteria under several if not all government incentives promoting renewable energy. The Green Energy Act opens door to opportunity for us, meaning we have the option of signing high value long-term contracts with a variety of parties. The feed-in-tariff program provides us with options. We are assessing the most productive and intelligent approach to this project. We have hired independent professionals who assess statistic and recommend a path. Outsourcing is a major contribution to our internal decision making. We understand the advantage of professional consultation in addition to our experience in the industry.
Q: Are there members of management with political ties aside from Stein Lal, David Tsubouchi?
A: Richard Morris crafted the original policy of The Ontario Power Authority. He is on our board of advisors. As I've mentioned earlier on, our management team is not composed as much of depth as it is of intelligence. We focus on outsourcing and contracting professionals in specific fields and tasks. Our internal management team has been brought together to assess options that these professionals propose.
Q: What major milestones lie ahead of the day when SunbayPort Hope begins operating?
A: The Permitting is a process of 9 - 12 months. The project financing should kick in during that period. The construction period is generally 12 - 18 months, which embodies in itself commissioning, including phasing and finally start-up. We are aiming for a late 2010 start-up. Due to the conservative size of this power plant, we are able to execute quicker than a traditional 'coal' or 'nuclear' power plant.
Q: What role does the Mayor of Port Hope play in this project.
A: The support we have received from the Mayor ensures that permitting for zone and construction permits. With the support of the city of Port Hope we have found an ideal location near the CN railroad and other major transportation routes. The idea behind our project is making the city aware. Their support is not going to yield us anymore revenue than our contracts will ensure, but raising awareness in the community where an intelligent long-term solution to ongoing concerns in being built in very important to us. Plasma Gasification solely solves waste management issues as well as environmental concerns. As Canadians, we have an obligation under the Kyoto Protocol which we are struggling to meet. The government has not made any strong initiatives in ensuring that the Kyoto Protocol greenhouse gas emission levels are met. Therefore I anticipate that this sector will continue rapidly expanding as people grow aware of solutions such as plasma gasification.
Q: Will the provincial, federal government play a role in SunbayPort Hope?
A: Cabinets primarily focused on the environment support renewable energy projects. The Ontario Power Authority has a division known as the Ministerial Directive. The idea behind the movement is to increase energy output from renewable energy projects. The federal government is currently facing a bill to introduce a universal carbon credit program, such as the one in the European Union (EU). The carbon credit program is difficult to describe based on its varying factors, however, if adjusted to certain 'norms' it should give SunbayPort Hope a good idea of how we can capitalize from the program. If you're looking for additional information based on movements, initiatives, programs, google the carbon credit system in the EU, as well as the "Western Climate Initiative" and "Cap and Trade" for Ontario.
Q: What are the kWh rates in Ontario?
A: The rates vary between $0.10 and $0.125/kWh. There are of course occasional 'spikes'. The Green Energy Act and the Ontario Power Authority ensure competitive rates for long-term power purchase agreements. There are several parties that we are able to approach as consumers of electricity. All These government initiatives try to encourage private investment in projects of this nature.
Q: Between the $14.1B the Ontario Power Authority has set aside, and Obama's stimulus plan billions, what are the chances that SunbayPort Hope and following United States projects will qualify for grants?
A: SunbayPort Hope meets the tax-credit programs' requirements. The American projects will comply as well. If our company is the recipient of any which government investment, we will graciously accept. However, we are arranging financing that will not need to depend on the stimulus nor other tax-credit plans. Our financing stands independent.
Q: Have you found a financier for the Port Hope project?
A: Europlasma will be financing the Port Hope project. We have attracted the interest of several other parties for our American projects including several private parties and several Canadian banks. Financing for our projects in the United States is still being arranged. As I have mentioned, we want to stand independent of any government grants, however, meeting requirements of the majority of programs, we will gladly accept any grants.
Q: Will Wireless Age take part in all of Sunbay Energy Corp.'s United States based projects?
A: That is the idea.
Q: Simmonds mentioned a large partner in the United States, would you care to expand on this thought?
A: Large partners, yes...but which one would you like more on? There are several groups we are working with. Financing groups, research and development groups, etc. There is an individual that has operated more than a dozen of these power plants and he will be working with us as well. As I've stressed numerous times before, our projects involve a great deal of outsourcing, attaining experienced partners, seasoned professionals, etc. Each of these plants will have it's own appointed management team to overlook and run the facilities. We are confident that we are approaching timely opportunities in the renewable energy sector.
Q: I'm under the impression that Tipping fees are in the range of $40-$60 per ton. Have you signed a contract(s) with TurtleIsland Recycling?
A: We have entered into a L.O.I. with TurtleIsland Recycling. Tipping fees are actually in the range of $50-60/ton in the province of Ontario, spiking as high as $100/ton in some landfills, depending on the location. This technology allows us to be part of a solution to more than one major issue. Waste management has been a problem for decades because landfills and incinerators are simply an unintelligent and hazardous option. Plasma Gasification is virtually the only technology that takes care of the environment while managing waste. The volumes of waste we are able to intake are incomparable to any form of recycling as an alternative. We believe the timing for this project is ideal.
Q: Financials...revenue projections, margin for SunbayPort Hope?
A: It is very difficult for me to discuss financials without the numbers at hand. The variations that come and go prove to have an upside. If you are to email me, which is the best way to reach me, I would certainly share any financial information you might need. The figures, 400 tons of feedstock and 20MW net to the grid are approximations of the plant's capacity. 20MW multiplied by approximately 8650 MWh annually, multiplied by $0.11/kWh multiplied by one thousand (to convert kilo to mega) added to 120,000 tons of feedstock intake annually, multiplied by $55/ton would give you an approximation. Keep in mind that this is only relative to SunbayPort Hope.
Remember the acquisition of Sunbay Energy Corp. will be finalized by July 31st, 2009. Wireless Age Communications, Inc. is also seeking a name change and share structure reduction, which will be finalized accordingly. For more information on Wireless Age Communications, Inc., please visit our site and view our investor due diligence presentation. All the best.