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A KALiNA power plant. Source: KALiNA Power
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  • KALiNA Power (KPO) is working to de-risk its projects through ownership of gas reserves in Alberta, Canada
  • The company’s subsidiary, Kalina Distributed Power (KPO), has been working to advance these projects through tolling agreements with gas producers and merchant electricity revenues from the Alberta Power Pool
  • The company says this strategy will enhance its project portfolio by providing lower fuel costs, as well as stable and secure long-term access to natural gas, and is considering funding the strategy through a subsidiary
  • KDP also expects to participate in a competitive bidding process for a large, geothermal project in Western Canada in Q4, 2021
  • KALiNA Power is up 10.3 per cent, trading at 3.2 cents at 12:48 pm AEST.

KALiNA Power (KPO) has been working to de-risk its projects through ownership of gas reserves in Alberta, Canada.

The company’s subsidiary, Kalina Distributed Power (KDP), has been working hard on a portfolio of developments. The company is aiming to advance these through a combination of tolling agreements with gas producers and merchant electricity revenues from the Alberta Power Pool.   

The company said tolling agreements offered less risk, while projects with merchant revenues could achieve significantly higher returns.

As a result of this, KPO said it intended to de-risk merchant economics by securing ownership of gas reserves.

The company said this strategy would significantly enhance its project portfolio by providing lower fuel costs, as well as stable and secure long-term access to natural gas.

To limit corporate dilution, KPO is considering funding this strategy through a subsidiary that could optimise tax incentives through using flow-through shares available to Canadian investors.

Meanwhile, KPO has been applying for government funding to develop standard designs and modules of the KALiNA Cycle technology and is exploring international joint venture opportunities. This includes gas turbines, steam-assisted gravity drainage and geothermal opportunities.

“While a lot of our focus has been advancing the flagship 64MW Saddle Hills project, our team in Canada has also been very active pursuing other commercial opportunities,” Managing Director, Ross MacLachlan said.

“As the push for renewables grows, and government legislates industry to lower their carbon emissions, we are witnessing more demand for our technology.”

KPO also expects to participate in a competitive bidding process for a large, geothermal project in Western Canada in Q4, 2021.

KALiNA Power was up 10.3 per cent, trading at 3.2 cents at 12:40 pm AEST.

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