OPERATIONAL RESULTS FOR THE THREE MONTHS AND FULL YEAR ENDED DECEMBER 31, 2009
Revenues for the twelve months ended December 31, 2009 were $5.8 million, an increase of $790,000 over revenues of $5.0 million reported in fiscal year 2008.
For the twelve months ended December 31, 2009, GreenHunter reported a net loss of $16.1 million ($0.77 loss per fully diluted common share from continuing operations), as compared to a net loss of $82.4 million ($4.05 loss per fully diluted common share for continuing operations) for the twelve months ended December 31, 2008.
Throughout the course of fiscal 2009, the management team at GreenHunter Energy worked to continue to improve the Company’s balance sheet by paying down outstanding indebtedness, implemented significant reductions in total selling, general, and administrative expenses and divested non-core assets for cash. The Company has also amended its non-recourse Credit Agreement with its senior secured lender that relates to the biodiesel refinery located in Houston. Management believes that it has sufficient liquidity available to it to fund the Company’s operations for fiscal year 2010.
Commenting on GreenHunter Energy’s 2009 financial and operating results, Mr. Gary C. Evans, Chairman and CEO, stated, “2009 was a challenging year for renewable energy companies given the tight capital markets, and uncertainty in the regulatory environment for biofuels, including the expiration of the blender’s tax credit at the end of calendar year 2009.
These events were compounded by low natural gas prices which are the basis for renewable electricity rate cases as well as low crude oil prices which dictate diesel fuel prices. We were successful at strategically working through our very tight capital issues with a specific game plan of focusing on areas where we have established a core competence that could position GreenHunter Energy to seize on new opportunities in the renewable space. We have never been more excited about our prospects for growth as we leverage our position as one of the few publicly traded renewable companies that survived these unprecedented times without substantial dilution to our shareholders. Our primary focus recently has been on our Mesquite Lake biomass project located in Imperial County, California. We are presently waiting on publication of a Draft Air Permit so we can resume refurbishment and conversion efforts at the facility. We realized an important milestone in our financing efforts for this project having recently received approval from the Imperial County Board of Supervisors for the award of $20 million in Recovery Zone Facility Bonds from the American Recovery and Reinvestment Act of 2009. We are hopeful to have this project operational by the end of this year. In addition to managing our existing assets and project base, management is once again actively pursuing acquisition candidates in operating areas where we have expertise.”
Any statements in this press release about future expectations and prospects for GreenHunter Energy and its business and other statements containing the words “believes,” “anticipates,” “plans,” “expects,” “will” and similar expressions constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Actual results may differ materially from those indicated by such forward-looking statements as a result of various important factors, including the substantial capital expenditures required to fund its operations, the ability of the Company to implement its business plan, government regulation and competition. GreenHunter Energy undertakes no obligation to update these forward-looking statements in the future.
GreenHunter Energy is focused on the renewable energy sectors of wind power, hydro, geothermal, solar, biofuels, and biomass power plants. Our assets consist of leases of real property for future development of wind farm projects located in Montana, New Mexico, California, Texas, Wyoming and The Peoples Republic of China, the nation’s largest biodiesel refinery located in Houston, Texas, a biomass-fired power plant located in Brawley, California, and an option to lease acreage associated with a terminaling facility in Port Sutton, Florida. Headquartered in Grapevine, Texas, GreenHunter Energy was formed to be the first publicly traded renewable energy company based in the U.S. that provides to investors a portfolio of diversified assets in the alternative energy sector.