Precious Woods (SWX: PRWN) has closed two Emission Reduction Purchase Agreements (ERPAs) to sell 770,000 tons of CO2 equivalent between 2006 and 2012. The contract amounts to over 50% of the current and expected future production of Certified Emission Rights (CERs) until 2012 from its fuel switch and methane reduction project in Itacoatiara, Brazil.
Precious Woods expects the revenue of its Carbon and Energy business segment to be in the region of US$10 million and net profits from this segment to be in excess of USD 5 million in 2006.
The net proceeds from the sale of CERs will be used to finance the further expansion of the Group’s sustainable forest operations in Latin America and Africa.
Precious Woods is active in the reforestation and sustainable management of tropical forests, downstream wood processing and trading of FSC certified timber and non timber forest products.
Loading...