10 Mar 2014 07:00
10 March 2014
NOVA RESOURCES LIMITED
('Nova' or the 'Company')
Enerstry Korea signs JV with LG CNS
Nova (AIM: NOVA), the investment company focused on high growth opportunities in the energy, infrastructure, technology, natural resources and manufacturing sectors, primarily in Russia and Asia, today announces that Enerstry Co., Limited ('Enerstry Korea') has entered into an agreement with LG CNS of South Korea, to form a joint venture company (the 'JV Company'). Enerstry Korea will have an 80 per cent shareholding in the JV Company and LG CNS will own the remaining 20 per cent.
The purpose of the JV Company is to construct, own and operate a waste to energy plant with a long-term offtake agreement with one of South Korea's largest dairy producers (the 'Dairy Company'). The JV Company is currently in detailed discussions with the Dairy Company; however, there is no certainty that these discussions will be successfully concluded.
Founded in 1987, LG CNS is a global IT services provider with interests in renewable energy. It has approximately 10,000 employees and in 2012 generated revenue in excess of $3 billion. Headquartered in Seoul, South Korea, LG CNS became the first Korean IT Company to enter the solar power plant market overseas and, since 2010 it has constructed several solar energy plants in South Korea as well as internationally in Sri Lanka, Bulgaria, the Philippines and Russia. It is an 85 per cent owned subsidiary of the South Korean multinational organization LG Corporation, which operates in more than 80 countries worldwide in the fields of electronics, chemicals and telecommunications.
Enquiries:
Nova Resources Limited +65 6236 2985
Chan Fook Meng, Chairman and CEO
Daniel Stewart & Co (Nominated Advisor & Broker) +44 20 7776 6550
David Hart / Alex Brearley
Blythe Weigh Communications +44 20 7138 3204
Paul Weigh / Halimah Hussain / Camilla Horsfall
Notes to Editors:
Enerstry Korea
Enerstry Korea is 93.33 per cent owned by Enerstry Group, in which Nova has a 23.72 per cent shareholding. Its strategy is to build, own and operate renewable energy plants, by itself or in a joint venture with LG CNS, and enter into long term offtake agreements with established, reputable companies in order to create stable, long term income streams for the benefit of its shareholders. At the end of the initial terms of the offtake agreements, if they are not extended, the relevant plants will be transferred to the counterparty company that Enerstry Korea entered into the offtake agreement with. Enerstry Korea has the financial capability to build, own and manage additional environmentally friendly renewable energy plants in Korea and is presently in negotiations with a number of parties to build such plants.