26th July 2007
VRB Power Systems says that the University of South Florida, in partnership with Progress Energy Florida, has purchased two 5kW x 4hr VRB Energy Storage Systems™, which it will integrate with a solar project on the St. Petersburg campus of the University of South Florida. This project is aimed at evaluating the storage of intermittent solar photovoltaic energy and utilizing that energy at a time of maximum benefit to the customer and utility power systems. The two sites will enable the evaluation of the potential of these advanced energy storage systems for a number of power system applications.
John Davis, Director of VRB, said: "VRB Power has developed as its standard small system offering, a 5kW 4 hour unit focused on the telecommunications sector. It is very exciting to see that this same platform can also form the basis for PV market applications, such as with Progress Energy. This demonstrates the flexibility and potential of the VRB flow battery and dramatically increases our market potential."
Jeff Corbett, Progress Energy Florida's Senior Vice President of Energy Delivery said: "The continued development of renewable energy is part of our balanced approach to meeting growing customer demand, and it will play a vital role in our energy future. This system will allow storage of renewable energy for later use, when it is needed the most, such as very hot or very cold days. This partnership with USF will help enhance utilities' use of renewable energy, and it will also serve as an educational platform for USF students."
The Power Center for Utility Explorations (PCUE) at the University of South Florida is the group performing the design, installation, modeling and simulation. PCUE Director Alex Domijan and Assistant Director Arif Islam will seek to transform this pilot effort into a practical application for other utilities to emulate for the benefit of their customers. The use of renewable energy sources will advance the state-ofart reduction of the carbon footprint and mitigate climate change with widespread use of an installed system.
VRB also announced that it has entered into an agreement with a syndicate of underwriters led by Cormark Securities Inc. and including Research Capital Corporation and PI Financial Corp. pursuant to which the underwriters have agreed to purchase 33,000,000 Common Shares on a bought deal basis, at a price of $0.38 per Common Share for aggregate gross proceeds to the Company of $12,540,000. The underwriters have the option to purchase an additional 4,950,000 Common Shares at the issue price at any time prior to 30 days following the closing date for additional gross proceeds of $1,881,000.
The Company will file a preliminary short form prospectus in British Columbia, Alberta and Ontario for the purpose of qualifying the Common Shares for distribution to the public as soon as possible and the offering is scheduled to close on or about August 8, 2007. The offering is subject to certain conditions including, but not limited to, the receipt of all necessary approvals, including the approval of the TSX Venture Exchange. The proceeds of the offering will be used for capital expenditures relating to the Company's assembly facility and general working capital purposes.