Pavilion Energy Resources is a 10% equity partner in a joint venture (JV) that has submitted a multi-billion dollar proposal to the state of Texas to develop a massive wind energy project located in the Gulf of Mexico off the coast of South Padre Island. The turbines incorporated in the JV's proposal are based on the proprietary wind accelerating technology invented by Peter Sterling, Pavilion's President and Chief Executive Officer. These turbines generate 400% more turbine power per dollar of capital than existing technology. This technology makes very-large-scale, offshore, wind power farms with slower average wind speeds, as is the case in Texas, more than economical. The project award is expected to be made within the next one to two years.

This 25-year project, referred to as the Texas Coastal Clean Power Project, requires the manufacturing, installation and operation of at least 5 wind farms, each of which generates approximately 10,000 megawatts (MW) of electricity per hour for a total of 50 gigawatts (GW) per hour. The wholesale value of the electricity from each 10GW facility is approximately $2.5 billion to $5.0 billion per year. The JV's proposal offers to pay the Texas state government a 1% royalty for ten years, rising to 2% after ten years in net electricity revenue from the wind farm. Upon receiving an award, the JV intends to secure available U.S. Government clean energy grants for 30% of the project's construction costs and low-interest, loan guarantees from the U.S. Government to finance the remaining 70% of the project's cost.

Tags: Pavilion Energy Resources