Dubai, United Arab Emirates – February 28, 2008, Axial Vector Engine Corporation (Symbol: AXVC.PK - Frankfurt Symbol: BAE1) today announced That its project finance agreement with a Dubai Consortium has now been set at an initial investment of forty five million USD for its new “ultra efficient multi-fuel GENSETS”. This long-term construction commitment is payable at LIBOR plus 6 %. Payments are interest only for one year after facility completion and may be prepaid against a 4% penalty after two years.
Other major points updated by management include.
- One mega-watt price set at $274,500, which is 25% less than the current market leaders.
- “Carbon Credits” for each megawatt of power produced per year equals $127,000. This added value has been packaged by Emirates International Capital Advisory “EICA” (www.emiratescapital.net) to provide customers and government entities wishing to purchase AVEC GENSETS can do so by signing “power purchase” agreements.
- Income streams will then be hedged and guaranteed by third party agencies and institutions currently affiliated with EICA. Income from these power sales will be divided 60 % to EICA and 40% to AVEC during the first five years. The remaining fifteen years of the agreement net profits shall be distributed 50% percent EICA and 50% AVEC.
- With the completion of the production model of the AVEC GENSET now finished, final due diligence is being completed quickly by EICA concerning its purchase of Adaptive Propulsion Systems in Detroit Michigan USA. Plans call for a March 2008 closing and a substantial expansion of these facilities to enhance other products to market using the family of AVEC. Site reviews for additional engineering and factory space are also being studied in Jebel Ali Free Zone in Dubai as well as an expansion of the Detroit, USA facilities.
Ahmed Khalifa Chairman of AVEC stated, “On Monday March 3rd we will post on our web site a transcript of yesterdays conference call as well as pictures and photo history of our newly completed GENSET as it is shipped to Dubai for our Global premier March 11-13 at WETEX in Dubai.”
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Axial Vector Engine Corporation