GreenHunter Energy Receives $2.9 Million Performance Payment from Sale of California Wind Project in 2009
GRAPEVINE, Texas--(BUSINESS WIRE)-- GreenHunter Energy, Inc. (NYSE MKT: GRH) (NYSE MKT: GRH.PRC), a diversified water resource, waste management and environmental services company specializing in the unconventional oil and natural gas shale resource plays, announced today that it has received a cash payment of $2,936,500 as consideration for the sale of its Ocotillo wind project which originally occurred in 2009. These cash proceeds will be reflected in the Company's fourth quarter and year-end financial statements.
GreenHunter sold the Ocotillo wind power development project in July 2009 to Ocotillo Express, LLC, a wholly-owned subsidiary of Pattern Renewables, LP, for an initial cash payment plus additional cash milestone payments that were determined based upon the amount of installed megawatts of power generation ultimately to be constructed at a project site which consisted of approximately 6,280 leased acres of Bureau of Land Management property located in Imperial County, California.
Commenting on the receipt of this milestone cash payment from the sale of the Ocotillo wind project, Jonathan D. Hoopes, President and COO stated, "Management has been focused on building a leading water management services business for oilfield operators active in the unconventional resource plays over the past 16 months. These additional cash proceeds which were derived from our discontinued operations in the renewable business, have arrived at a time when our capital expenditure program and salt water disposal well drilling plan has significantly expanded and is presently in high gear. Our last remaining renewable energy asset, GreenHunter Mesquite Lake, a biomass repowering project located in Imperial County, California, continues to be marketed for divestiture to a number of potential buyers actively reviewing the data room materials."
About GreenHunter Water, LLC (a wholly owned subsidiary or GreenHunter Energy, Inc.)
GreenHunter Water, LLC provides Total Water Management Solutions™ in the oilfield. An understanding that there is no single solution to E&P fluids management shapes GreenHunter's technology-agnostic approach to services. In addition to licensing of and joint ventures with manufacturers of mobile water treatment systems (Frac-Cycle™), GreenHunter Water is expanding capacity of salt water disposal facilities, next-generation modular above-ground storage tanks (MAG Tank™), advanced hauling and fresh water logistics services—including 21st Century tracking technologies (RAMCAT™) that allow Shale producers to optimize the efficiency of their water resource management and planning while complying with emerging regulations and reducing cost.
Additional information about GreenHunter Water may be found at www.GreenHunterWater.com
Any statements in this press release about future expectations and prospects for GreenHunter Energy and its business and other statements containing the words "believes," "anticipates," "plans," "expects," "will," "could," "should," "budget," "continue," and similar expressions constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements in the press release include, without limitation forecasts of growth, revenues and SWD well and rolling stock expansion.Actual results may differ materially from those indicated by such forward-looking statements as a result of various important factors, including the substantial capital expenditures required to fund its operations, the ability of the Company to fund and implement its business plan, government regulation and competition. Additional risks and uncertainties are set forth in the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2011, as well as the Company's other reports filed with the United States Securities and Exchange Commission and are available athttp://www.sec.gov/as well as the Company's website athttp://greenhunterenergy.com/. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this presentation. All forward-looking statements are qualified in their entirety by this cautionary statement. GreenHunter Energy undertakes no obligation to update these forward-looking statements in the future.
GreenHunter Energy, Inc.
Jonathan D. Hoopes
President & COO
1048 Texan Trail
Grapevine, TX 76051
Tel: (972) 410-1044
KEYWORDS: United States North America California Texas
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