3 days ago
5
Alternergy [ALTER 1.03, up 1.0%] [link] was awarded a “Certificate of Authority” (COA) to exclusively explore its 150 MW Albay Wind Power Project. If ALTER is able to use this COA to prove the project to be “commercially viable” within the three-year period, then the COA “will be converted to a 25-year Wind Energy Service Contract.”
MB bottom-line: Ok, so from a stock market perspective, this news is probably not going to push ALTER to new heights in the immediate sense. However, from a renewable energy development perspective, this is the equivalent of posting pics with your new girlfriend to social media that you’ve been quietly dating for a few weeks. It signifies the DoE’s intent to be bound by a 25-year contract if ALTER can prove the project works on paper, and that level of commitment unlocks ALTER’s reciprocal commitment to spend the money needed to conduct these expensive “pre-feasibility” studies. If ALTER and the DoE start posting pics with a new dog... look out!
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