(ADPnews) - Nov 2, 2010 - US clean energy company GreenHunter Energy (AMEX:GRH) said today one of its subsidiaries raised USD 30 million (EUR 21.5m) in a tax-exempt bond sale to finance a biomass plant expansion in California, USA.
GreenHunter Mesquite Lake LLC issued the Recovery Zone Facility bonds through the California Enterprise Development Authority.
The company will use the proceeds, together with GreenHunter Energy equity and taxable bonds to be issued by the end of the year, to fund the construction, restoration, installation, equipping and expansion of its Californian biomass power generation plant.
Piper Jaffray Companies (NYSE:PJC) co-ordinated the bond offering.
The expansion project will be carried out in two phases, with the first phase seen to start operation by December 2011 and the second phase to go on stream by the middle of 2012. The enhanced plant will have a capacity of 27 MW and will burn 280,000 tonnes of waste biomass a year to produce electricity. At full capacity, the plant will be able to generate power enough to supply 18,000 households, GreenHunter said.
The project is seen to create some 642 jobs.
(USD 1.0 = EUR 0.716)
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