Sunny Future for Local Wind Power Venture

11 September 2001

New Zealand's first local wind turbine manufacturing venture has a sunny future, according to Dr Neil Cherry, Chairman of local company Windflow Technology.

Speaking after a meeting of the company's board last week, Dr Cherry said "We've raised the minimum $2 million we needed to get the venture off the ground, and we're well on the way to our target of $3 million before the end of this month." Support for the company's share offer has come from more than 400 people throughout New Zealand, with several investments from Australia, the United States and Europe. "The strength of support, with many people investing in shares for the first time, gives us confidence for the future."

The Christchurch City Council has agreed to purchase the output of the company's first wind turbine - planned to be operating by October 2002. Windflow Technology's board has given founder Geoff Henderson approval to employ specialist staff to commence on the final design and manufacture.

"It is most pleasing to have sufficient investor support to see the first stage of a new industry segment starting in the region," said Director Keith McConnell after the meeting. "This has an immediate spin off in creating several high skilled local jobs and the first blocks in forming the foundations of an industry hub utilising our plentiful local wind resource and engineering aptitudes."

"In percentage terms, wind is the fastest growing form of power generation world-wide," said Director Barrie Leay. "New Zealand has very extensive, good quality wind resources. Electricity network companies can again build unlimited 'renewable energy' generation of which wind energy will be the most significant and lowest in cost. New Zealand will ratify the Kyoto Protocol in September next year, which means we have to reduce CO2 emissions quickly. We have learned again this winter that we need an alternative to our limited hydro resources. Investors have given their endorsement to Windflow Technology to create an exciting new industry for New Zealand."

"Wind energy has the lowest environmental impacts of any form of power generation and is ideally suited to our windy climate," said Director Heugh Kelly. "It is high time New Zealand took advantage of the tremendous opportunity that wind power presents for jobs and sustainable energy. Building gas-fired power stations has not enhanced New Zealand's 'clean green' image in recent years, nor has it created sustainable jobs for New Zealanders. It is particularly pleasing to be part of a venture which is working to reverse those trends."

The company's share offer closes on September 28th (or earlier if fully subscribed). Currently investment stands at about $2.3 million.