A consortium of underwriters led by Orion Securities and Cormark Securities handled the financing round, which saw 7.1M of Plutonic shares sold in return for the proceeds, minus a 5.5% commission for the facilitators.
The Canadian company's growing tally of proposed hydro projects in British Columbia currently stands at 25 schemes with a total installed capacity of more than 1.3GW, which would generate about 4400GWh per year. The company's proposed portfolio has increased from a stated 22 projects only last month, which was stated to have more than 1.1GW capacity and would generate 3500GWh annually.
The company said the extra three projects came onto the list following the firm's success with initial approvals in the regulatory application process. The three projects - Dalgleish Creek, Jimmie Creek and Upper Toba River - would have a total installed capacity of 116MW to generate 350GWh per year.
Last month Plutonic signed a basic Impact and Benefit Agreement (IBA) with Sliammon First Nation enabling them to assess the development potential of the 123MW East Toba and 73MW Montrose Creek projects.
Subject to outcome of the review, Plutonic would receive the Sliammon First Nation's support for the generation projects on the Toba Inlet. Plutonic has also just announced an IBA with Sliammon First Nation that covers the transmission infrastructure for the project.
In 2006, Plutonic struck an exclusive deal with a GE Energy Financial Services (GE EFS), a business unit of General Electric. The deal gives GE EFS a 49% stake and a 60% economic interest for 35 years, dropping to 49% thereafter.
In January, the company said the project economics should see annual revenues of $65M, costs (including taxes of $10M and hence earnings before interest, taxes, depreciation and amortisation (EBITDA) of $55M. To build the scheme, Plutonic anticipates a fixed cost engineer, procure and construct (EPC) deal of $450M and was budgeting for $60M in financing and closing costs.
The EPC contractor is Peter Kiewit Sons Co and a total construction programme of 3.5 years is expected for the two projects.
