Blockchain Power Provides Q4 and Year End Operational Update
March 5, 2019
TORONTO, ONTARIO – March 5, 2019 -- Blockchain Power Trust (“Blockchain Power” or the “Trust”) (TSXV:BPWR.UN) is pleased to report that production from its renewable energy projects for the year and quarter ended December 31, 2018 was an aggregate of 147,847 MWh and 39,508 MWh, respectively. Production for the year ended December 31, 2018 was 95% higher than production of 75,865 MWh for the year ended December 31, 2017. Production for the fourth quarter ended December 31, 2018 was 121% higher compared to production of 17,875 MWh for the fourth quarter of 2017. The increase in production is primarily attributable to the acquisition of the East Wind project which was completed in December 2017.
In 2018, the Trust redeemed all of its outstanding $31.4 million principal amount of 7.5% unsecured convertible debentures, and repaid the principal amount, accrued and unpaid interest thereon and fees, of other certain debts and liabilities in the aggregate amount of $10.7 million through the issuance Trust units and cash. In total, the Trust repaid $42.1 million of debt through the issuance of units. The Trust also repaid $3.7M of principal on outstanding debt from operating cash flow.
The Trust mined an aggregate of 85 Bitcoin during 2018 and subsequently paused its Bitcoin mining operations effectively October 1, 2018 given the decline in the price of Bitcoin, increased mining difficulty rates, and continued robust pricing environment for electricity in Romania and Europe generally. In light of current market dynamics, the Trust has no intention of resuming crypto currency mining at this time.
Colter Eadie, Chief Executive Officer of Blockchain Power, commented, “We continue to focus on our renewable energy portfolio and are pleased with our operational performance for 2018 from our renewable assets. Our renewable energy generation assets continue to perform consistently and according to plan. In particular, with a full year’s production from East Wind, we are pleased with our acquisition which performed in line with historical annual averages. We made transformational improvements to our balance sheet last year and find ourselves in the strongest financial position that we have ever been in. ”
For further information please contact:
|Ravi Sood||J. Colter Eadie||Betty Soares|
|+1 (647) 987-7663||+40 736 372 724||+1 (416) 803-6760|
About Blockchain Power Trust
The Trust, through its direct and indirect subsidiaries in Canada, the Netherlands and Romania, acquires interests in renewable energy in Romania, other countries in Europe and abroad that can provide stable cash flow to the Trust and a suitable risk-adjusted return on investment. The Trust seeks to provide investors with long-term, stable value creation, while preserving the capital value of its investment portfolio through investment in a range of operational green energy, blockchain and cryptocurrency related assets. The Trust intends to qualify as a “mutual fund trust” under the Income Tax Act (Canada) (the “Tax Act”). The Trust will not be a “SIFT trust” (as defined in the Tax Act), provided that the Trust complies at all times with its investment restriction which precludes the Trust from holding any “non-portfolio property” (as defined in the Tax Act). All material information about the Trust may be found under the Trust’s issuer profile at www.sedar.com.
Statements in this press release contain forward-looking information. Such forward-looking information may be identified by words such as “anticipates”, “plans”, “proposes”, “estimates”, “intends”, “expects”, “believes”, “may” and “will”. The forward-looking statements are founded on the basis of expectations and assumptions made by the Trust. Details of the risk factors relating to Blockchain Power and its business are discussed under the heading “Business Risks and Uncertainties” in Blockchain Power’s annual Management’s Discussion & Analysis for the year ended December 31, 2017, a copy of which is available on Blockchain Power’s SEDAR profile at www.sedar.com. Most of these factors are outside the control of the Trust. Investors are cautioned not to put undue reliance on forward-looking information. These statements speak only as of the date of this press release. Except as otherwise required by applicable securities statutes or regulation, Blockchain Power expressly disclaims any intent or obligation to update publicly forward-looking information, whether as a result of new information, future events or otherwise.Neither the TSXV nor its regulation services provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this release.