Upower, Inc. Announces Execution of Memorandum of Understanding With Marangrang Power Solutions (Pty) Ltd. for the Purpose of Developing Solar Powered Power Plants and Other Power Generation Projects in South Africa
WEST PALM BEACH, FL--(Marketwired - Sep 16, 2014) - Upower, Inc. d/b/a Upower Group, Inc. ("UPI" or the "Company"), a West Palm Beach, Florida based company which, together with its subsidiaries, plans to become an independent power provider ("IPP"), announced today that it has executed a memorandum of understanding ("MOU") with Marangrang Power Solutions (Pty) Ltd., a South African company ("Marangrang") involved in the development of power generation projects.
Pursuant to the MOU, Marangrang will seek to provide such assistance as may be required for UPI to negotiate, enter into and fully perform its obligations under one or more power purchase and/or related agreements relating to the construction, finance and operation of one or more solar powered power plants and/or other power generation technologies and projects and its/their interconnection to one or more electric power facilities.
Marangrang, founded in August 2014 by George Negota (President) and Ray Padima (CEO), based in Johannesburg, South Africa, is comprised of an experienced, knowledgeable team of professionals whose areas of expertise include legal, international marketing and corporate infrastructure development.
The MOU sets forth UPI's and Marangrang's intent in furtherance of the MOU to prepare a joint venture agreement pursuant to which the parties shall create a new company incorporated under the laws of South Africa, of which UPI shall be the majority shareholder and be able to designate the majority of such company's directors.
David Macias, CEO of UPI, was quoted as saying: "This MOU evidences UPI's continued efforts to further our role in seeking to develop renewable energy and other power generation solutions while keeping true to our mission: To generate electricity by building or acquiring power plants globally, striving to maximize performance and returns for our shareholders, while remaining environmentally conscious."
George Negota, Marangrang's President, was quoted as saying: "We are most pleased to have this opportunity to partner with Upower to bring safe, reliable energy development opportunities to South Africa. We are cognizant of the South African President's call in his State of the Nation address in June of this year for the need for partnerships in renewable energy for development in rural areas, and intend to heed such call."
Mr. Macias was further quoted as saying, "South Africa recognizes that it has an immediate and future energy crisis, and that it needs to be able to secure affordable and reliable energy to solve its short term energy issues, and to power long term economic growth. We are encouraged that the South African government is now voicing clear support in working towards a more investor-friendly climate, and encouraging private sector participation and competition among IPPs in the generation sector and open access to the transmission system, in furtherance of its National Development Plan and previously issued Energy White Paper."
UPI's strategy for engaging in the energy generation business focuses mainly on existing power generation technologies and various power generation sources, and entails establishing strategic alliances with engineering procurement and construction ("EPC") contractors and/or partnering with prospective project developers, manufactures, suppliers, contractors and others having required specialized expertise, and financing sources, to construct, supply and install power generation equipment for new facilities and/or to expand, engineer, refurbish and upgrade acquired existing facilities for UPI to operate as an independent power provider.
Forward Looking Statements
Certain statements made by Upower, Inc. ("UPI"), its subsidiaries and members of its management team on its behalf in this release and other periodic oral and written statements, regarding UPI's operating performance, events or developments that UPI believes or expects to occur in the future, including those that discuss anticipated financial results, strategies, goals, outlook or other non-historical matters, or which relate to future sales, earnings expectations, cost savings, growth of UPI or of the market for its products and services, or general belief in UPI's expectations of future operating results are forward-looking statements. All such forward-looking statements are subject to risks and uncertainties, including the need by UPI for substantial additional working capital to materially advance its business plan, including the projects discussed in this press release; no assurances that UPI will be able to secure such capital or the terms upon which such capital may be secured, if at all; technology and other challenges involved in the development and operation of UPI's planned products and services, including the performance of technology which may be utilized by UPI, compliance with local, regional and national power generation, environmental and related laws, and local, regional and national governmental cooperation; local, regional and national economic considerations, including residential and industrial energy demand; foreign currency effects; UPI's ability to protect its intellectual property; the ability to integrate acquisitions successfully and the risk that expected synergies may not be fully realized or may take longer to realize than expected; and competitors' product introductions, pricing and other competitive pressures, as well as other risk factors and uncertainties. Forward-looking statements included herein are made as of the date hereof, and UPI undertakes no obligation to update publicly such statements to reflect subsequent events or circumstances. Actual results could differ materially from anticipated results.