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How AEHI can afford to build a nuclear power plant January 21, 2010

Posted by cleanidahoenergy in AEHI, economic benefits, Investment news, nuclear industry, nuclear jobs, Payette County.
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Lately we’ve had a lot of questions about how AEHI plans to fund a nuclear power plant.  There have been a lot of rumors floating around about the process, so we’d like to use the following opinion piece to clear up any misconceptions. Dan Hamilton, AEHI director of public relations, wrote the following opinion.

As a child, and not unlike other kids, I was often relentless in questioning my parents menial issues, “Why do I need to eat all my food, why can’t I stay up, and why can’t I spend the night on the roof?”

Most parents know what I’m talking about.

Meaningful answers were often provided, but later the answer to all these questions became, “Because I said so.” An irritating response, but now it’s one I use on my own children, because thinking of a real answer takes time to formulate in a way they’ll understand.

I thought a lot about that lately, and as a representative of Alternate Energy Holdings, Inc., I think responses to , “How can your company afford to build a nuclear power plant”, have begun sounding like a tired parent saying, “Because I said so.”

The real answer is much more complicated.

Depending on the reactor, the finished project, likely on a 5,000 acre piece of property outside Payette, will cost between $5 billion and $8 billion.

This is an investor-driven operation, at least in the beginning, and paying for it will require a couple different methods, or phases. These are the reasons investors continue supporting AEHI, because they’ve learned there is no downside to investing in a nuclear power plant.
Phase one will require about $100 million to pay for land, water, engineers, lawyers and applications. Last summer AEHI announced an agreement with an investment group to fund $70 million worth of the project and now we have several large international investors also interested.

Phase two takes place after AEHI receives local and federal approval; once approved, the property will increase in value to about $1.5 billion. The land then becomes an asset used to borrow $5 billion to $8 billion for construction. No loan payments are expected until the plant is operational, and once running at full capacity, it will create about $3 billion annually in reliable profits for 60 years.

These projections create a very attractive loan for most lenders.
Making this even more attractive, and much less risky, is a federal loan guarantee, which insures loan repayment up to 80 percent its original value. You can read more about this program on the Nuclear Energy Institute’s website: http://tinyurl.com/financingnuclearpower. This is also a program many senators are trying to expand.

In short, after phase one, AEHI will have a $1.5 billion asset and a nearly $10 billion asset after phase two — in either case, a very profitable proposition.

It’s also profitable for state and local economies. Following local approval, Phase one will create hundreds of jobs and contribute millions. After federal approval, Phase two will create billions of dollars in gross domestic product every year and thousands of jobs through construction and operation. Then there are local businesses needed to support the people working at the plant.

When finished, about 500 people will be needed to operate the plant, with pay averaging about $80,000 a year.

Coming from someone who studied these issues in great detail as a reporter, who quickly became a proponent, and now as an employee of AEHI, I have learned this project can be accomplished and has the potential to become hugely successful.

I hope you will take the time to study the matter for yourself. You will likely come to the same conclusion. This plant is crucial to providing Idaho with the revenue, the jobs, and the essential base load power the state needs for years to come.

AEHI retains JSBarkats PLLC a Wall Street experienced Corporate and Securities law firm December 21, 2009

Posted by cleanidahoenergy in AEHI, Investment news.
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Press Release

9:30 AM ET

AEHI retains JSBarkats PLLC a Wall Street experienced Corporate and Securities law firm.

New York, December 21, 2009: Alternate Energy Holdings, Inc.(OTC: AEHI.PK) announces that it has retained the services of Mr. Sunny J. Barkats, Esq., a PIPE and APO experienced attorney and the founding partner of JSBarkats PLLC who is leading the Securities/Capital Markets group at the New York office. JSBarkats acts as the Company’s general counsel and help represent AEHI in all aspect of the Company’s SEC compliance and securities legal work as well as help with structuring future financing for the Company. Mr. Barkats recently introduced AEHI to a fund, with which the Company discussed the opportunity for a potential financing as potential fundamental investors, providing the Company with legal services and opening doors on Wall Street.

Don Gillispie, AEHI Chairman and CEO, said, “Working with individuals of this caliber will only serve to elevate our company’s profile in the investor community. JSBarkats bring a level of experience and insight into the capital markets that should be extremely beneficial to Alternate Energy and its shareholders.”

About JSBarkats PLLC, and Mr. Barkats. (http://jsbpllc.com/home)

Sunny J. Barkats, Esq., is a seasoned corporate and securities practitioner specializing in the PIPE and APO industry. His principal experience has been in private placements, mergers, acquisitions and dispositions, SEC compliance, public offerings, general 1933 and 1934 Act matters and strategic business relationships, he is the partner responsible for building and growing the Securities/Capital Markets practice group in the New York office of JSBarkats PLLC, an innovative dynamic full service law firm with more than 10 attorneys headquartered in the heart of Manhattan’s Financial District, and with affiliated offices in Israel, and France. Mr. Barkats principally represents publicly traded emerging growth and established companies, both domestic and foreign, in a wide variety of industries, particularly in the Defense and the “green” technology industries. He also represents investment banking institutions, high net worth individuals and other investors. Mr. Barkats is a frequent speaker and wrote articles in various editorials and professional publications on Banking, Securities and Capital Markets law topics.

About Alternate Energy Holdings, Inc. (www.alternateenergyholdings.com)

Alternate Energy Holdings develops and markets innovative clean energy sources. The company is the nation’s only publicly traded independent nuclear power plant developer willing to build power plants in non-nuclear states. Other projects include, Energy Neutral which removes energy demands from homes and businesses (www.energyneutralinc.com), Colorado Energy Park (nuclear and solar generation), and International Reactors, which assists developing countries with nuclear reactors for power generation, production of potable water and other suitable applications. Also, AEHI China, headquartered in Beijing, develops joint ventures to produce nuclear plant components and consults on nuclear power.

Safe Harbor” Statement: This press release may contain certain forward-looking statements within the meaning of Sections 27A & 21E of the amended Securities and Exchange Acts of 1933-34, which are intended to be covered by the safe harbors created thereby. Although AEHI believes that the assumptions underlying the forward-looking statements contained herein are reasonable, there can be no assurance that these statements included in this press release will prove accurate. As a result, investors should not place undue reliance on these forward-looking statements.

US Investor Relations:

208-939-9311

invest@aehipower.com

Letter to investors September 11, 2009

Posted by cleanidahoenergy in AEHI, China, Chinese nuclear energy, economic benefits, Elmore County, international, Investment news, nuclear industry.
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I sent a letter to investors recently. Keeping people informed about our company, its goals and status is an important to us.

September 9, 2009

Dear AEHI Stockholder,

First, let me thank you so much for your investment in AEHI. The company has several nuclear projects underway including our lead site in Idaho, as well as Colorado, a desalination reactor in Mexico and a Tar Sands reactor in Canada to remove trapped oil.

We also formed Energy Neutral, Inc last year to install wind, solar and geothermal heat pumps on homes and offices to eliminate energy bills. Currently, we plan to build our first energy free model home starting the first of October to demonstrate we can construct buildings with no power bills at essentially the same price as those with energy bills. This will help launch our first energy neutral subdivision. The Energy Neutral Trade Mark name is pending as well.

The Idaho reactor, Idaho Energy Complex, is in the process of seeking local approval and we expect it by year’s end. After the Elmore County site approval was delayed due to process problems, we began looking at other sites and now have three additional Idaho counties who are extremely interested in having our plant. A little competition is always healthy. In addition, we are reviewing state lands for potential sites. After two years of educating Idaho citizens along with support from the national media and key state leaders, we have no doubt that an approved site will happen in Idaho soon and we will be adding staff locally to accommodate. We have a funding commitment from Source Capital for the site.

In July, we opened an office in Beijing, China with some investors as AEHI China to facilitate joint ventures for nuclear components among other things and large institutional investors. With the support of the Chinese government nuclear officials, we have several companies who are interested in working with us. I now travel to China every couple of months to facilitate these deals. Also, we are in the process of negotiating on the price to bring the Korean advanced reactor, APR 1400, to the US. This reactor will be lower than the cost of the other reactors currently in the US market making us more than competitive with any new source of electricity in the country. As a backup, we have begun to talk with Mitsubishi Heavy Industries about their advanced reactor as well. Further, we have a large energy trust that is willing to loan us up to $5 billion for the plant construction phase.

Lastly, in lieu of going on the London Plus Exchange as mentioned in my last letter, we are starting the process for our first public stock offering (IPO) for later this year and a move to the American Stock Exchange. This will open the stock up to institutional and more international investors by the first quarter of 2010 allowing us to leave the penny stock category.

As you can see there is plenty of positive news in the making, we will publicly announce this information as it unfolds. If you would like some more AEHI stock or have qualified investor friends, the price is at its lowest from the company at 5 cents per share with no broker fee or volume limit like in the market. This offer will end October 31 when we file for our public offering. We doubt this price will ever be available again. Also, if you have an unrestricted investment 401K or any IRA you can transfer funds to AEHI stock as well.

Just send an e-mail to invest@aehipower.com or call 208-939-9311for more information and PPM, or you can just mail a check to AEHI if an existing investor. If you are an investor you can add to your holdings for as little as $1000 or any amount above that minimum. New investors need to review the PPM.

Again, thanks for your support as we try to help the country with jobs and clean, low cost energy that will also assist us with energy independence.

Best regards,

Don Gillispie

Great news on the funding front June 6, 2009

Posted by cleanidahoenergy in AEHI, Investment news.
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AEHI taps experienced energy sector company to fund Idaho nuclear plant site 
Source Capital Group Inc. has extensive experience funding energy-sector projects and will raise an estimated $70 million to primarily fund government license application process

For more information, contact:
Don Gillispie, 208-939-9311
Martin Johncox, 208-658-9100
http://www.alternateenergyholdings.com
Facebook http://groups.to/nuclear
Blog: www.cleanidahoenergy.wordpress.com
Twitter: @aehi

Alternate Energy Holdings Inc., an investor-funded company seeking to build an advanced third-generation nuclear power plant in Elmore County, Idaho, has signed an agreement with Source Capital Group Inc. to raise money for the project.

 The funds will cover land, water rights and engineering services to obtain Nuclear Regulatory Commission approval to construct and operate an advanced nuclear plant in Elmore County, Idaho, estimated to total some $70 million. Every company that has undertaken the NRC application process has successfully completed it and received a construction/operation license.

This is a major step in the process to bring the first commercial nuclear plant to Idaho and the first advanced nuclear plant to the western US that is so in need of clean, low cost base load power to sustain industry and agriculture,” said company CEO Don Gillispie. “We are very pleased to have a company with Source Capital’s experience in raising funds for energy projects on board.”

Source Capital’s Investment Banking Department has extensive experience in energy transactions including Initial Public Offerings, Private Placements, Project Finance, Master Limited Partnerships, Special Purpose Vehicles and Reverse Mergers. Source One has helped companies in traditional fossil exploration and production, as well as a broad spectrum of alternative and renewable energy companies, including Rock Energy and Enerlume Energy Corporation. The company is capable of providing financing from $5 million to $500 million. 

“Mr. Gillispie and his team have an extensive background in the nuclear power industry and have developed a compelling plan to create a new and much needed energy source for the western United States,” said Richard Kreger, Senior Managing Director of Investment Banking for Source Capital. ‘We are excited to bring the merits of their vision to investors in an effort to ensure the success of this worthy project.” 

David Harris, President of Source Capital Group, Inc., affirmed that “clean, low cost energy is one of the most vital areas of focus for our nation’s future.  Source is pleased to have the opportunity to leverage its financial services expertise in the energy sector to raise capital for AEHI and this important initiative.”

 A former offer from Silverleaf Partners of Utah was only applicable to a former proposed site in Owyhee County. Also, several large financial institutions have indicated an interest in financing the construction phase.  

The Elmore County Commission in April heard more than four hours of testimony, most in favor of AEHI’s request to rezone land for the plant, with over 500 supporters packing the hearing room. On Monday, June 8, the commission will discuss and possibly vote on the rezone.

About Source Capital Group, Inc. (www.sourcegrp.com) Source Capital Group, Inc. is a full-service financial institution, specializing in middle-market investment banking transactions, distressed and high yield debt securities, investment management, mortgages, and business lending.  Source has provided equity, debt, and structured finance solutions to both public and private companies in a variety of industries, including energy, oil and gas, telecommunications, technology, biotech, and consumer goods.  Source Capital Group, Inc. was founded in 1992 and is headquartered in Westport, Connecticut, member FINRA / SIPC.

About Alternate Energy Holdings, Inc. (www.alternateenergyholdings.com)
Alternate Energy Holdings develops and markets innovative clean energy sources.  Current projects include the Idaho Energy Complex (an advanced nuclear plant and bio-fuel generation facility, energy-neutral home and business technology (www.energyneutralinc.com), Colorado Energy Park and International Reactors, Inc., which assists developing countries with nuclear reactors for power generation, production of potable water and other suitable applications. 

 

“Safe Harbor” Statement under the Private Securities Litigation Reform Act of 1995:  This press release may contain certain forward-looking statements within the meaning of Sections 27A & 21E of the amended Securities and Exchange Acts of 1933-34,which are intended to be covered by the safe harbors created thereby.  Although AEHI believes that the assumptions underlying the forward-looking statements contained herein are reasonable, there can be no    assurance that these statements included in this press release will prove accurate.  

 US Investor Relations:
208-939-9311
invest@aehipower.com