As part of its pursuit of opportunities to meet China's growing demand for clean energy, Navajo Wind Energy Corporation has signed a joint venture partnership agreement for a 50% interest in the CSRI Xuzhou Nantung wind farm project.
This joint venture project is a 35 mega-watt wind farm, which was completed in January 2009. Navajo's partner CSRI Xuzhou Nantung Wind Farm Ltd. was established in 2004 and was responsible for the procurement, installation and operation of their wind farm project to bring it online. The facility's Phase I consisted of 10 wind turbines with a unit production capacity of 850 kilo-watt each, Phase II will have 10 wind turbines with a unit production capacity of 850KW each and the final completed Phase III of the project will be 12 wind turbines with a unit production capacity of 1,500KW each. The total installed capacity is expected to be 35MW.
The successful bid grid price for the 20 wind turbines' output is USD0.081 per KW hour. At current levels, the operating profits for this project are expected to be USD850,000 annually. However, Navajo anticipates that the facility will lift profits to USD1.2M USD in 2009, and going forward, with the combined effects of restructuring of the project's financing to more favorable terms through the company's finance relationships and by improving the facility's operating efficiency with the application of new technologies to the production process.
Navajo Wind Energy is a renewable energy company focused on the development of wind energy. The company is pursuing significant opportunities to provide clean wind power to meet the growing demand in China. With the key acquisition of wind farm and power trading company Guangzhou Jianianxiang, Navajo will become one of only a few companies licensed to trade electrical power both inside and outside of China.
